Over 1.8 million professionals use CFI to learn accounting, financial analysis, modeling and more. Start with a free account to explore 20+ always-free courses and hundreds of finance templates and cheat sheets.
The STDEV.S Function is an Excel Statistical function that will calculate the standard deviation that is based on a sample of the population. It will ignore logical values and text.
While doing financial analysis, the STDEV.S function can be useful in, for example, measuring the income standard deviation representative of an entire population.
The STDEV.S function uses the following arguments:
Number1 (required argument) – This is the first number argument that corresponds to a sample of the population.
Number2 (optional argument) – This is a number argument that corresponds to a second sample of the population.
The given arguments must provide at least two numeric values to the function.
Arguments can either be numbers or names, arrays, or references that contain numbers.
The STDEV.S function is used to calculate the SD of a sample and not of a whole population. To calculate the standard deviation for a population, use either the STDEVP function or the STDEV.P function.
How to use the STDEV.S Function in Excel?
As a worksheet function, STDEV.S can be entered as part of a formula in a cell of a worksheet. To understand the uses of the function, let us consider an example:
Step by Step Example of STDEV.S Function
Suppose we are given a record of a business’ monthly expense figures over the last three years, as shown below:
For the standard deviation, the formula used is:
We get the results below:
The equation used for this is:
x takes on each value in the set
xis the average (statistical mean) of the set of values
n is the number of values
Things to remember about the STDEV.S Function
#DIV/0! error – Occurs if none of the values that are supplied to the function is numeric. Sometimes the number may not be selected as a number.
#VALUE! error – Occurs if any input values in the STDEV function are values that aren’t numeric values.
The STDEV.S function is used when calculating the standard deviation for an entire population. If we are calculating the standard deviation of an entire population, we need to use the STDEV.P function.
Thank you for reading this CFI guide to important Excel functions! By taking the time to learn and master these formulas, you’ll significantly speed up your financial modeling and analysis. To learn more, check out these additional CFI resources:
Take your learning and productivity to the next level with our Premium Templates.
Upgrading to a paid membership gives you access to our extensive collection of plug-and-play Templates designed to power your performance—as well as CFI's full course catalog and accredited Certification Programs.
Already have a Self-Study or Full-Immersion membership? Log in
Access Exclusive Templates
Gain unlimited access to more than 250 productivity Templates, CFI's full course catalog and accredited Certification Programs, hundreds of resources, expert reviews and support, the chance to work with real-world finance and research tools, and more.