This research paper gives insight into the physico-chemical characteristics of the Rana stream located in the Mandi district of Himachal Pradesh, India, with a particular emphasis on the diversity of diatoms. During the course of this study, eight genera of phytoplankton were identified. Statistical analysis using Pearson correlation unveiled significant associations between the physicochemical parameters and the different groups of diatoms. To assess the diversity of phytoplankton within the stream, several diversity indices were employed. Highest diversity was observed during the month of February. Furthermore, the calculation of water quality indices for the Rana stream yielded values falling within the range of 47.34 to 59.01. This range signifies that the water quality within the Rana stream can be categorized according to the Water Quality Index (WQI) scale, spanning from “good” to “poor.” It is worth noting that the presence of a diverse assembly of pollution-tolerant diatoms such asFragilaria, Navicula, Gomphonema, andCymbella, particularly during the month of March, which coincided with the period of the poorest water quality, is indicative of the eutrophic nature of the stream.