According to Italian outlet Citta Celeste, the Rome-based club is planning a move for the 18-year-old as part of their squad overhaul.
Vata has come through the academy system at Parkhead, but has been unable to break into the first team squad consistently.
He has featured five times in the Scottish Premiership over the last two seasons, with all of those appearances coming from the bench (all stats from Fbref).
A move could be on the cards this summer, with a view to potentially receiving greater playing time.
Watford had previously been connected with a move for Vata, but will now face competition from Lazio.
Vata’s contract with Celtic is slated to expire in the summer, making him available as a free agent.
However, Celtic will be entitled to a compensation sum because he has been with the club since the age of seven.
If Watford wins the race to recruit the forward, they are expected to pay the Scottish giants around £239,000.
Celtic have offered a new contract to the Ireland underage international, but his lack of game time under Brendan Rodgers may indicate his wish to leave Glasgow at the end of the season.
Celtic’s offer would keep him at the club until the summer of 2027, although it is unclear whether he will accept it.
Lazio are anticipated to rebuild their first-team squad during the forthcoming transfer window, with the Italian club focusing on youngsters.
A number of high-profile players, including Ciro Immobile and Luis Alberto, are out of contract and about to leave the Stadio Olimpico.
The top tier club has identified many targets, including Vata.
Como, Bologna and Sampdoria have all also been mentioned as sides with an interest in the Celtic starlet.
Watford are preparing for life in the Championship next season, with the club expected to stay in the second division.
The Hornets are now 15th in the table, 19 points below the play-off places with only three games remaining.
The gap to the relegation zone is also eight points, indicating that the club is safe in its position in the second division.
Tom Cleverley is in charge of the first-team squad, but it’s uncertain whether he’ll be there permanently next season.
Vata has struggled to establish himself as a fixture in the Celtic side this season, but there is no ignoring the hype about his talent.
The forward has already been named an Ireland U21 international, demonstrating his potential at an early age.
A transfer to Watford could be appealing, but the lack of a permanent manager makes it tough to predict what the team will be like next year.
Vata would most likely prioritise game time in his next move, therefore the Championship club’s greatest chance of winning his signing is to ensure a rapid road into the first-team squad.
