The Montenegro forward suffered an injury-hit first year in English football following his £22m move from Fiorentina last summer, but the City boss insists that his striker is ready to shine.
"I think Stevan is playing very well," Pellegrini is quoted as saying by Manchester Evening News. "He is in a very good moment with us and I hope he will continue in the same way because he is a very important and very good player for us.
"I always say my players are the best players in the Premier League and we have the strongest squad, not only attackers but also defending and in the whole squad.
"He has a lot of movement and if you review what happened last season every time he went from the bench on the pitch he always scored. He is a very good finisher and we will see the real Stevan Jovetic this season."
Jovetic scored five goals in four games during City's pre-season tour of the United States.