What exactly is the meaning of "Hu Tehilosecha" mean?
Ramban #2: It means that it is your association with Him that makes you praiseworthy (that raises you above) the other nations. 3
Seforno: 'Be proud to be an Eved of the One who rules over all existence.
What does "ve'Hu Elokecha" then mean?
Ramban: It means that He placed His Name upon you to be His people and that He will be for you a G-d, to offer you His personal protection, Because from the great and awesome deeds that He will perform on your behalf (Hashgachah K'lalis - communal Providence) 1 you will realize that you are His lot and His inheritance, and that His Eyes are always upon you to do good to you.