I don't think Bayern Munich would be willing to pay 100+ million euros to sign him while there are cheaper and good alternatives such as Vlahovic.
I used to have very high hopes for Vlahovic, but right now I don't think he is an A-list striker. I watched him a couple times at Juventus. He's good, but I doubt he will get to the level of Kane, Aguero, Benzema when we talk about strikers. Hes still young and can improve though so I wish he can improve.
Also the inconsistent performance of Juventus might be part of the reason for his slowed growth.
But with so many rumors about Davies who has always been close to Madrid, it's also not wrong if they are looking for options again at this time because it would be much better than when in the end the transfer is nearing closure and one of his players leaves, this will be very troublesome for them.
Even though Davies is currently a player from Bayern, but seeing from his current condition, Davies is waiting for Madrid's offer, this could be a bad signal for them, so the arrival of Raphael Guerreiro, who is contracted until 2026, could also be a good option at this time.
Davies' current contract is still long but of course this is also a vulnerable condition for Bayern especially it seems that Mendy is also having problems at Madrid so they will look for other options to secure their fullback area.
Davis will be a very perfect addition to Madrid. To me he will be Madrid's best signing of the summer if the deal works.
I doubt it will happen anyway. Bayern are not known to let go of their important players like that. Even if things may not be going smoothly for the player, Bayern would fins a way to keep him.