The 42-year-old has been out of work since being sacked by Wolves and replaced by Pereira nearly a year ago.
Now, according to The Athletic’s David Ornstein, O’Neil is being considered for a sensational return to the club.
Pereira was sacked following the worst start to a Premier League season in the club’s history, with Wolves cemented at the bottom of the table with just two points.
Ornstein adds that Middlesbrough boss Rob Edwards is also being considered, with Michael Carrick also in the picture.