The invention discloses a Chinese medicinal composition for treating diarrhea and a preparation method of the Chinese medicinal composition. The composition comprises (by weight) 5-10 parts of Flos Lonicerae, 8-12 parts of Herba Taraxaci, 9-11 parts of Radix Codonopsis, 4-6 parts of Rhizome Atractylodes Lancea, 3-5 parts of Radix Paeoniae Alba, 3-8 parts of Glycyrrhizae Radix, 3-8 parts of Radix Scutellariae, 8-12 parts of Ramulus Cinnamomi, 9-11 parts of Radix Saposhnikoviae, 8-12 parts of Herba Moslae, 10-20 parts of Flos Chrysanthemi, 3-8 parts of Herba Schizonepetae, 4-6 parts of Poria, 8-12 parts of Pericarpium Citri Tangerinae, 3-8 parts of Perillae Herba, 5-10 parts of Folium Mori, 3-5 parts of Herba Violae, 1-3 parts of Herba Patriniae, 5-10 parts of Sargent gloryvine, 8-12 parts of Herba Portulacae, 3-8 parts of Herba Andrographitis, 8-12 parts of Mume Fructus, 5-10 parts of Radix Puerariae, 3-8 parts of Herba Houttuyniae, 3-5 parts of Herba Hedyotis Auriculariae, and 5-10 parts of Radix Sophorae Flavescentis. The composition is orally administered in form of decoction. The composition has significant effect in treating diarrhea, and effect in invigorating liver, spleen and kidney, and has the advantages of low cost, good curative effect, and no toxic and side effects.