Davies is desperate to get back playing in the Premier League and with Birmingham 10 points off the Championship play-offs, he is unlikely to do it with the Midlands club.
However, Stoke could offer him the chance and after showing an interest during the January transfer window, boss Tony Pulis is sure to revisit the situation.
Norwich and Reading are also keen so the player will not be short of options.
“I can’t lie to you or anyone, I want to play in the Premier League and it would be wrong if I said I didn’t,” the 28-year-old told the Birmingham Mail.
“In January we were told we had to sell someone and I was always relaxed about it.
“I knew Jack Butland’s move (to Stoke City) was imminent and I wouldn’t have been sold anyway. I didn’t worry myself too much. When things happen at the last minute you never know, but I was always concentrating on here.”
Arsenal have reportedly held talks with Dennis Praet's agent and could make a £22million move for the Sampdoria midfielder this summer.