The German giants progressed to the final four of the competition when they humiliated Quique Setien's team in Lisbon.
Left-back Davies collected the ball and rounded Barca icon Lionel Messi and skipped past Arturo Vidal before he pulled off an excellent move to evade Nelson Semedo and dart inside the box.
He then passed the ball into the middle of the six-yard box where Joshua Kimmich burst in to slot beyond Marc-Andre ter Stegen and net his side's fifth goal of the game.
Davies celebrated the victory by posting pictures from the game on Instagram, adding the caption: "Amazing performance from the team last night."
A host of footballers commented on the 19-year-old's post and among them was Brazil international Marcelo, who said: "You bring joy to my eyes when I see you play kid!"
Germany international Kimmich described Davies' assist as "world class", while Bayern coach Hansi Flick remarked that it was "simply beautiful" as he sang the Canada international's praises after the game.
"He has the quality. If he does it more often, it would be all the more beautiful," the former Germany assistant coach added.
Davies has been described as "a real hit" and a "top class" performer by Bayern president Herbert Hainer, while his former coach at Vancouver Whitecaps Carl Robinson recently backed him to become a legend at the Bundesliga champions.
Davies, who joined the Bavarian side from the Vancouver Whitecaps in January 2019, has scored three times and set up a further eight goals in 41 appearances in all competitions for Bayern this season.