The invention relates to a water-based dispersion and a preparation method thereof, wherein the water-based dispersion takes calcium stearate as the main component and is used for papermaking; and the dispersion is mainly used as an auxiliary, a functional auxiliary and a coating lubricant in the papermaking and coating processes. The dispersion is formed by processing the calcium stearate, an emulsifier A, an emulsifier B, an auxiliary, a dispersing agent, a defoamer, a fungicide and water; and the production comprising the steps of: adding the calcium stearate, the emulsifier A, the emulsifier B, the auxiliary, the dispersing agent, the defoamer, the fungicide and the water into a high-pressure reaction kettle according to a certain proportion; sealing the high-pressure reaction kettle and heating to 160-190DEG C; mixing the materials at a constant temperature for 1h; and then rapidly cooling to the room temperature so as to obtain the target product. According to the proportion and the method, the viscosity range of the prepared water-based calcium stearate dispersion is 90-680mPa.S, the particle size range is 0.45-5.0 microns and the solid content is 39-75wt%. The water-based calcium stearate dispersion has the advantages of simple process, high efficiency, no color reversion of the product, no odor, no pollution and the like; and the particle size, the solid content and the viscosity are adjustable.