Background: Aspects of drug product stability are of primary concern to dispensers in the dispensing of drugs at drug retail outlet. Therefore, this study assessed knowledge, attitude and practice of drug dispensers towards drug product stability at community pharmacies in Jimma town. Method: Cross-sectional study was conducted on total of 19 dispensers from Jimma private drug outlet (n=19) in Jimma town from January to June 2019. Data on knowledge, attitude, practice of dispensers towards drug stability, and sociodemographic characteristics of respondents were collected using a structured interviewer administered questionnaire. Data was analyzed by using SPSS Version 21.0 (Chicago, SPSS Inc.). The Chi square test was used to determine association between practice of maintaining drug stability through proper storage condition among respondents and sociodemographic characteristics of dispensers. Results: A total of 19 dispensers were included in this study, 13(68.4%) of the dispensers was males and mean age was 47±13 years. Thirteen (68.4%) were pharmacists and 5(26.3%) were pharmacy technicians (druggists). Twelve (63.2%) of drug dispensers revealed stability of drugs product as critical element in pharmaceutical regulatory system. Majority of respondents (36.8%) stated that stability of drug products were affected during storage condition. Moreover, study revealed that years of dispensing experience (p=0.007) and educational qualification (p=0.001) of dispensers were significantly associated with practice of maintaining drug stability through proper storage condition. Conclusions: Study revealed that majority of dispensers has a good knowledge and attitude towards drug stability at drug retail outlet of Jimma town. Moreover, years of dispensing experience and educational qualification of dispensers were significantly associated with practice of maintaining drug stability through proper storage condition. Compliance of drug retail outlet to regulatory standard assessment is paramount important.