A report in New Idea magazine claims that the former Victoria's Secret beauty is being courted by Tom and that the couple are close to going public with their relationship.
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Tom Cruise is said to be "smitten" with model Miranda Kerr
"Since last November, when they were introduced at a private dinner in London, Tom hasn't been able to get Miranda out of his mind," an insider told the magazine.
"With James out of the way, Tom and Miranda have exchanged several phone calls and have even met up in secret every time she's flown into London. He's smitten!"
Tom, who is due to finish filming Mission Impossible 5 in London within the next few weeks, has been single since the end of his marriage to Katie Holmes in 2012.
Tom Cruise and Katie Holmes
Of course it won't be the first time he has fallen for an Australian beauty; the actor was married to Nicole Kidman from 1990 until 2001.
Miranda, meanwhile, announced the end of her three-year marriage to Orlando Bloom in October 2013. The couple, who are parents to Flynn, three, have remained on great terms since their split, and continue to maintain a strong bond for the sake of their son.
Miranda Kerr remains on good terms with her ex-husband Orlando Bloom
Most recently, Miranda was linked to Australian billionaire James Packer – although she insisted the pair's realtionship was not of a romantic nature.
"James and I are friends, but people want to make a story, the public want to put me with someone," she said at the time, adding: "I know the truth, I am single, and the people that are important to me know the truth."