Following the necessity of investigating fluid flow and heat transfer in the stretching sheet problem and effect of nanofluids on them, performance of various nanofluids were investigated in the present study. Three base fluids (deionized water, ethylene glycol, and engine oil) in combination with 18 nanoparticles (metals and their oxides) were investigated. While experimental methods are preferable, a mathematical model was developed and solved by applying differential quadrature method due to lack of such experimental data. With the results obtained in the real dimensions, the error caused by the cancellation of the viscosity effect due to the dimensionless variables was omitted. Effects of magnetic field and volume fraction of nanoparticle on the fluid flow and heat transfer characteristics were investigated. Highest heat transfer rate as well as small amounts of shear stress was obtained for deionized water–Al and deionized water–Mg nanofluids. Increasing volume fraction of nanoparticle was observed to increase both heat transfer and shear stress rates, while presence of a magnetic field caused an increase in shear stress and decrease in heat transfer rate.