Background: Preterm babies have immature physical growth and unstable physiology. Inability to cope up to external stress. They frequently have improper muscular tone due to infancy, which puts them at risk of having abnormal posture. Nesting provides physiological, cognitive and postural stability, comfort and helps preterm infants maintain their posture. Objective: To assess physiological parameters among control group and experimental group, to evaluate the effectiveness of nesting on physiological parameters in preterm babies and to find an association between physiological parameters with selected sociodemographic variables. Materials and Methods: An evaluative research approach with a systematic random sampling technique, 60 preterm babies were selected (30 experimental group and 30 control group) from Krishna Hospital and Medical Research Center, Karad. Experimental pretest–posttest control group design was used. Data were collected by using observational checklist. Results: Unpaired t-test results revealed that the calculated t value of physiological parameters in posttest comparing between the experimental and control group shows that 5 days of nesting has stabilized the physiological parameters and was found statistically significant at P < 0.05, i.e., temperature t = 4.917, heart rate t = 2.283, respiration t = 2.676 and SpO2 saturation t = 10.940. In weight, the calculated t = 0.8653 and found no statistically significant at P = 0. 3904. Conclusion: Study concluded that nesting was effectively stabilizing the physiological parameters of preterm babies (temperature, heart rate, respiration rate, SpO2, and weight).