The Orioles made the move before Tuesday night's game at Texas.
Davis has been out since May 24 because of a hip injury. He is hitting .171 with five home runs and 17 RBIs.
Davis started the season going 0 for 33, which extended a hitless streak to 54 at-bats dating to last Sept. 14. Since then, he has gone 22 for 96 for a .229 average.
The Texas native played his first 4½ major league seasons with the Rangers before being traded to the Orioles at the non-waiver trade deadline in 2011. He led the majors in home runs and RBIs in 2013 and in homers again in 2015. He hit .168 with 16 homers and 49 RBIs last season after re-signing for seven years and $161 million.