This paper examines the gravitational stability against small perturba
tions of the quasi-steady state cosmological model. This model was fir
st introduced by Hoyle et al., who in subsequent papers looked at its
various theoretical and observational implications. Here we carry out
a perturbation analysis of the exact solution of the field equations o
btained by Sachs et al. in the noncreative mode which describes the os
cillatory feature of this model. We show that the perturbations grow o
nly to a limited amount and then fall off, thus confirming the stabili
ty of the solution. We discuss the implications of this result for str
ucture formation in this cosmology.