The Magpies appeared to have wrapped up a deal for the Irishman, only for the move to fall through soon after due to how long it will still take him to recover from a broken leg, although they may rekindle their interest in Judge in January.
And Smith, who did not specify any club interested in Judge, believes this was because of his fitness levels and, if a bid comes in in January, he wouldn't begrudge the midfielder a move to a Premier League or massive Championship side.
“The clubs that were interested in him thought he was further ahead in his fitness that he was,” he said.
“I don't think anyone would begrudge Judgey a move to a Premier League or a massive Championship club. I'm sure he'll come back better than before.”
Judge is still on the rehabilitation trail and Smith refused to give any timescales on when the popular midfielder will return.
The head coach added: “He probably wasn't as far ahead as he thought he might be but he's still progressing. I'm not sure of any timescales – I think it's too early to say.”