The invention discloses diaper rash cream and a preparation method thereof. The diaper rash cream is prepared from the main components of petrolatum, caprylic/capric triglyceride, avocado tree fruit fat, polyglyceryl-4 isostearate, meadowfoam seed oil, gallnut extract, microcrystalline wax, polydimethylsiloxane, Sorbitan olivate, Quaternium-18 Hectorite, propylene glycol, Chrysanthellum indicum extract, sodium dehydroacetate, butanediol, hydrolyzed rice protein, Anthemis nobilis flower extract, radix sophorae extract, fructus cnidii extract, Bisabolol, Ginger Root Extract, Hexyldecanol, Brassinosteroids, N-palmitoyl hydroxyproline cetyl ester, stearic acid, menthol, tocopheryl acetate, perfume, p-hydroxyacetophenone, caprylyl glycol, 1,2-hexanediol, chlorhexidine diacetate, disodium EDTA and water through synergistic interaction in an appropriate ratio by the scientific preparation method, and the produced diaper rash cream has good skin care and skin-firming effect and good affinity,can relieve skin pain, and has good stability.