Cotton is the main economic crop in China and is important owing to its use as an industrial raw material and a cash crop. This experiment was conducted in the main cotton-producing area of Xinjiang, China. A hyperspectrometer was used to monitor the canopy spectral reflectance of cotton at different stages of growth. The results showed that the leaf area index (LAI) increased with the increase in the amount of nitrogen fertilizer added during the early full boll stage and decreased with the increase in nitrogen fertilization in the full and late boll stages. Insufficient or excessive fertilization led to a decrease in the LAI. The visible light band indicated that the canopy spectral reflectance decreased, and the amount of fertilizer increased in all the growth stages. The near-infrared band revealed that the canopy spectral reflectance increased with the amount of nitrogen applied during the bud stage, early boll stage, and the most vigorous period of boll growth. During the flowering period, the spectral reflectance followed the order N3 > N4 > N2 > N1 > N0. During the entire growth period of cotton, the values of the cotton LAI predicted using the ratio vegetation index (RVI) model were found to best fit the measured values. The LAI monitoring models of cotton in each growth stage were different. The TVI model is the best in the bud and early boll stages. The NDVI model is the best in the flowering stage, and the DVI model is the best in the full boll stage. This study provides a basis to accurately monitor the LAI in each growth period of cotton.