The Algerian refused to train with his teammates after his move to Manchester City on deadline day fell through.
But the 27-year-old returned after a ten-day absence and provided the assist against Sheffield United that helped the Foxes secure an FA Cup quarterfinal berth. And Morgan has been delighted with Mahrez's attitude.
"He's a good player – he's getting straight back into it and I was glad to see him out there," Morgan told Leicester Mercury .
"I think he looked more like himself. Everyone knows what's happened after the transfer window but he has come in and got straight back to work.
"He's always been focused. He's been great – he's settled back in as if he never went away so it's fantastic for us and it's fantastic for him."