The Czech Republic international scored three goals in 28 Bundesliga appearances last season, but was part of a Nuremberg side that was relegated to Germany's second tier.
Hlousek has subsequently decided to take on a new challenge, and has penned a deal that will see him stay at the Mercedes-Benz Arena until June 2018.
And the 25-year-old is relishing the prospect of representing Huub Stevens' charges.
"Stuttgart is a top club in the Bundesliga," he told the club's official website.
"(I had a) good time in Nuremberg, now I am looking forward to this new challenge."
Sporting director Fredi Bobic added: "Adam has established himself in the Bundesliga and has international experience.
"He fits very well with our requirements and will liven up our game on the left side."
Hlousek becomes the second departure from Nuremberg on Monday, after Japan captain Makoto Hasebe joined Frankfurt on a two-year deal.
