Huppert, who is 58, will be in Stockholm in November to receive the prestigious award.
"Fearlessness and contemplation are the opposing poles in the space where her characters are created and exist," the festival said.
"She is the muse to the greatest of film auteurs, and at the same time, her own incomparable auteur."
Since "The Lacemaker" in 1977 by Swiss director Claude Goretta, she has taken on "memorable" roles, it added.
The Stockholm film festival which was created in 1990 runs November 9-20.
The Bronze Horse is awarded every year and has gone to Roman Polanski, Lauren Bacall, David Lynch, Charlotte Rampling and Wong Kar Wai, among others.