When you are at the stage that Davies and DCL are, you either develop them yourself or you get shut and let somebody else do it. Both will just go backwards if we sent them on loan to a lower division so there's absolutely no point in that.
Both of those players are not yet ready to be regular premier starters and both have been played far too much this season. That's partly down to poor management of the squad and partly down to poor selection. However there are very few players their age getting as much game time in the premier and they have proven that in their age groups they are amongst the best players in the country. DCL scored the winner in a world cup final ffs, and Davies has been the long term England captain of group that are even more highly regarded. So you have to assume that we have here 2 players with a lot of potential.
Personally I would prefer to keep hold of both players next season to try and develop that potential ourselves, with proper management of their game time. Neither would be starters and with DCL I'd actually bring in another striker to the squad which would make him third choice. He'd still get plenty of game time for his age, and would be training daily and learning from (hopefully) good strikers at the top of their game.
Or we could just sell them.