The former Netherlands international played for the north London club for two seasons.
The former Netherlands midfielder represented Spurs between 2005 and 2007 before leaving the club for a return to boyhood side Ajax.
Spurs look set to finish second in the league this season following their 1-1 draw with West Bromwich Albion on Monday night.
Craig Dawson’s own goal put Mauricio Pochettino’s side ahead on the half-hour mark to give the visitors an advantage but the central defender netted an equaliser in the second period.
Tottenham now trail shock leaders Leicester City by seven points with just three games remaining, meaning it will take a monumental turnaround to prevent the Foxes from picking up their first ever top flight title.
However, retired Davids is remaining positive over Tottenham’s best ever Premier League campaign and believes consistency is vital for Spurs to remain among the elite. He was quoted by Eurosport as saying: "I think it's very important for a club like Tottenham right now to stay at the top."
He also thinks finishing above arch-rivals Arsenal for the first time in Premier League history could prove vital in future seasons, saying: "To win the title is absolutely incredible but to finish second would be also nice. Why? Simply because then they can establish something that's called a top team, a top side, and no longer look forward to Arsenal - but look backwards."