According to numerous reports, the Blues lead the way in signing the versatile 28-year-old that would command a fee in the region of £25 million, with his former club Southampton also reportedly interested.
At the start of December, the Blues reportedly inquired about the possibility of signing Walcott during the upcoming window as Sam Allardyce looks to strengthen his attacking options.
The Blues do want to sign a left-sided defender but the possibility of Walcott being available may tempt Allardyce and director of football Steve Walsh into making a move for yet another experienced Premier League player.
When he took over in November, Allardyce spoke about signing the ‘right players’ as he goes forward as Everton boss, specifically looking at players who know the league but can also push the club forward.
Walcott does indeed tick a number of those boxes.
On the periphery
The 28-year-old has seemingly fallen down the pecking order within Arsene Wenger’s squad this season, limited to a handful of Premier League appearances - being relegated to appearances in cup competitions.
In a World Cup year, where Walcott will be itching at the chance to be part of the England squad in Russia, a move may be in his near future.
However, with Arsenal reportedly set to lose attacking options in Alexis Sanchez and Mesut Özil during this window, the Englishman may wait the next few weeks out to see where the dust settles at the Emirates.
His contract with the Gunners expires at the end of next season and with a lack of playing time, he may opt to refuse any possible extension offer if his playing situation doesn’t look like changing.
A lack of options
Everton have been without key winger Yannick Bolasie for the best part of a year and with him returning to action in recent weeks, new boss Allardyce has started to lay out a more attacking side.
The Blues already have a number of options in wide areas - namely Aaron Lennon, Ademola Lookman and Nikola Vlasic - but all three seemingly lack the goal threat that Walcott has shown he can produce in recent years.
Signing Walcott would bolster those choices but also, possibly, cut the chances of the promising youngster - Lookman and Vlasic - that the club has already invested in.