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United manager Erik ten Hag is keen to bolster his attacking options before the transfer window closes as the uncertainty surrounding Cristiano Ronaldo's future continues.
Spanish publication AS claim United have made a huge offer for Ronaldo's Portugal international teammate Felix.
But Atletico Madrid have rejected their approach, according to the report.
It is claimed that Atletico Madrid boss Diego Simeone views Felix as the team's most important player.
As a result, Atletico are reluctant to sell the 22-year-old, who has a release clause of €350m (£295m).
One of the most highly-rated talents in European football, Felix became the fourth-most expensive player in history when he joined Atletico in a club-record €126m (£106m) move from Benfica in 2019.
He has struggled to live up to his huge price-tag in Spain, scoring 29 goals in 112 games for the club.
But he was part of the side that won the La Liga title under Simeone in the 2020-21 season.
According to the report, United were impressed with Felix's performance in Atletico's pre-season win over the Red Devils.
Felix scored the only goal of the match to hand Simeone's side a 1-0 win in Oslo, Norway.
It is not the first time Felix has been linked with a move to the Premier League.
Liverpool and Manchester City have also been previously linked with the forward, who has scored three goals in 22 appearances for the Portuguese national side.
But a move to English football appears unlikely, with Felix reportedly "happy" at Atletico.
If United have indeed made a move for Felix, it would be a remarkable change in approach from the Premier League club this transfer window.
While Ten Hag is in the market for a new forward, United have been linked with significantly cheaper targets.
United pulled out of talks to sign Bologna forward Marko Arnautovic after having an £11.2m bid rejected by the Italian club.
The Red Devils were also linked with Red Bull Salzburg striker Benjamin Sesko, who has instead agreed a deal to join RB Leipzig next summer, and Stuttgart forward Sasa Kalajdzic.