The Swiss coach spoke alongside his forward Marco Reus of Germany at a press conference ahead of Wednesday's home game, reports Efe.
"Atletico has been among the best teams in Europe for six or seven years, reaching the Champions League final not in an exceptional year, but as a result of constant performance," Favre said.
Asked about Atletico's star forward Antoine Griezmann, the coach said his greatest strength was his efficiency and his ability to create goals from minimal chances.
"He's very intelligent, he needs few ball contacts, he receives and shoots and everyone is surprised," Favre said.
After two matches, Dortmund leads Champions League Group A ahead of Atletico in second, although the two teams are level at six points each.
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