The Saints’ squad has been decimated by the sales of Luke Shaw, Rickie Lambert, Adam Lallana, Calum Chambers and Dejan Lovren, while manager Mauricio Pochettino also left the club for Spurs in the close season.
Club-record signing Pablo Daniel Osvaldo is set to leave for Italian side Inter Milan, while Morgan Schneiderlin is reportedly looking to join Pochettino at White Hart Lane.
The South-Coast club have raised around £90 million through the sales and have so far added Graziano Pelle and Dusan Tadic to their ranks, while Ryan Bertrand has signed on loan.
Davies, who played for Southampton during two spells from 1997-1998 and 1999-2003, thinks that his former club face an uphill task of recruiting suitable replacements for a squad that has had its stars cherry-picked by the likes of Arsenal, Liverpool and Manchester United.
“I think they’ve been a victim of their own success” he told Sky Sports News. “They created a fantastic squad last season, and it’s been a rocky road over the last 10 or 11 years for the Southampton fans, finding themselves going down into League Two and now they’ve had double promotions and found themselves finishing eighth last season in the Premier League.
“They’ve got loads of youth players, who are quality players and they’re coming through. They’re littered with players throughout the England youth teams, so there’s a lot of positivity. The boat is certainly rocking and I don’t think they want to lose any more players.
“They’ve lost four or five quality players who will be really be missed. You lose one or two top-quality players, you miss them but to lose four or five of those types of players it’s going to be difficult for them.
“They have of course got money in the bank, but when they come to spend it, a lot of the prices will be hiked up as [other teams] know they have £90 or £92 million available to spend, so they’ve still got two or three weeks to get the squad sorted, I think they’ve still got a lot of quality there. I think the fans will back them.”
One player who Southampton are determined to keep though is wantaway midfielder Schneiderlin. The France international has publicly spoken of his unhappiness with the club’s refusal to allow him to leave, but Koeman has stated that his player won’t be offloaded.
Koeman told Sky Sports News last week.: "It's the decision of the board but I don't talk about it. He's a player at Southampton and he will continue as a player at Southampton.”
Saphir Taider, Ezequiel Schelotto, Fraser Forster and Hugo Campagnaro have all been linked with moves to St Mary’s as new boss Koeman continues his attempts to bolster his ranks ahead of the new Premier League season.
The Saints travel to Liverpool on Sunday August 17.