Bayern Munich is the favorite in the German league. However, things don't work that way in the Champions League. There are great teams in the Champions League. Last year, we saw Bayern playing as the absolute favorites but failing to win some matches, or playing very well against difficult teams and dominating the match, but failing to win the match. Kompany won the league title last year, but he needs to be even better this year for the UCL. That's why the Luis Diaz transfer was so important.
But do you think Bayern Munich has it in them to win the champions league when teams like PSG, Liverpool, Barcelona and Real Madrid are playing in the champions league. Bayern Munich only has what it takes to win their domestic leagues because there isn't any competition in that league Vincent Kompany can't use that Bayern Munich players to win any other competitions out of their league. To me he isn't still a top player and has alot to learn before he can be classified as a top manager. Going to manage big teams with big players don't make you a top manager because others can get the same victory with the team that he has.
Every team has an equal chance when it comes to the UCL. The Munich squad is capable of competing in the UCL, not just the Bundesliga. Moreover, Kompany has already coached Munich for a season. He simply needs to address any weaknesses. Munich's weakness last season was in defense. When they lost to Inter Milan in the UCL, Munich's defense suffered injuries, so there were no equally good replacements. That's why Munich failed last season.
You mentioned the favorite teams above, but you forget that Munich is a club often favored in the UCL. Their mentality in the UCL is unquestionable. They are a team that consistently appears in the quarterfinals and semifinals, so I think Muchen will be even better under Kompany next season. Speaking of the Bundesliga, I think we can already predict Muchen will win again, especially since their rivals like Leverkusen and Dortmund haven't shown significant improvement.