The 22-year-old Davies "sustained a muscle bundle injury "in the back of his left thigh during the 3-1 loss at Mainz in the Bundesliga on Saturday.
In the World Cup, Canada lost its opening match 1-0 despite outplaying Belgium, then took a second-minute lead against Croatia before losing 4-1 and getting eliminated.
Canada became the second team to be eliminated from the World Cup after Andrej Kramaric scored a brace in Croatia's back-from-behind win.
The Bundesliga restarted on Friday after its unprecedented two-month winter break with Bayern Munich and Leipzig grinding out an error-strewn 1-1 draw.
Morocco would advance with a victory or a draw on Thursday night, and also could reach the round of 16 with a defeat depending on the result of Belgium's match with Croatia.
Canada are playing in their second FIFA World Cup and are yet to score or win a game in the mega tournament.
With all the 48 group games now over, here is the team of group stage consisting of names like Lionel Messi and Kylian Mbappe.
Canada lost to Belgium in the first game of their FIFA World Cup 2022 campaign as they are yet to win their first ever World Cup game.
Canada coach John Herdman will announce the Canada squad for the 2022 FIFA World Cup on Sunday.
Thomas Muller set a club record with his 633rd appearance for Bayern Munich when he went on as a second-half substitute against Union Berlin.
