The ex-Barnsley forward has endured a frustrating season with the Trotters, having played just 11 times without scoring in what has been an injury-hit campaign for him.
Lukas Jutkiewicz arrived this week on loan from Middlesbrough for the rest of the season while top scorer Jermaine Beckford is nearing a return to full fitness from a hamstring problem, meaning Davies' chances could be limited.
There is interest in the 28-year-old, just as there was before Christmas, but Freedman would rather keep him if he can.
"Craig Davies is in a position where he needs to play games. Right now he's in the team and long may that continue," the Wanderers boss said.
"There has been one or two enquiries on Craig but I've got to do it for the good of the team, for the good of the player and looking at the financial situation as well.
"Craig's obviously very frustrated because he's not been fit and he needs to have a run of games to get to top fitness. There has been a few enquiries but, as we speak right now, it's not where we want to go and we've let them go. But I have to admit I have to look at his wishes as well and see what he wants to do."
Both Wolves and Burnley were keen on Davies before the last loan window closed, although both have since acquired strikers.
Asked if he could see Davies leaving before Friday's deadline, Freedman added: "If he wants to play regular every week and that's his wish then I'm comfortable with that. No player will stay here that doesn't want to stay here.
"I can't guarantee anybody that they'll play next week, that's not my style, you've got to fight for your position. Everybody's under the same sort of mindset."