Walcott was named among the midfielders on England's squad list to face Brazil, but Hodgson is aware of his goalscoring potential.
"I'm fully aware that Theo, like quite a lot of players in our squad, could play centrally or could play wide," said Hodgson. "It's good to know and good to have.
"I'm looking forward to seeing a Theo Walcott who is fully fit, ready to go and in good form. We know that he's got goals in him and he is proving that.
"The goal he scored against Liverpool was a classic example of someone who's obviously in very good form. And it was a goal only someone who is a good goalscorer could score. He's scored a lot of goals this season and long may it continue."
Hodgson added: "The main thing for Theo is he wants to play. I've seen him play on three occasions recently and on each occasion he has played wide right and on each occasion he has scored."