The Spaniard was admitted after suffering chest pains last Monday, meaning he was absent from the 1-0 Championship victory at Blackpool the following day, as well as the 1-1 draw at home to Bournemouth on Saturday.
The 41-year-old took over from Giuseppe Sannino earlier this month and lost his first match in charge, 1-0 at Charlton Athletic.
"The club is pleased to confirm that head coach Oscar Garcia left hospital yesterday [Sunday]," a brief statement read.
"At this stage, the Hornets expect Oscar to hopefully return to work later on this week."
Watford next face Blackburn Rovers at Ewood Park on Saturday.
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