According to the United States Census Bureau, the city has a total area of 0.6 square miles (1.6 km²), all of it land.
Stanley has cold winters and mild summers. Even in the middle of July, it is not uncommon for the low temperature to approach freezing.
An Associated Press article referred to Stanley as "routinely the coldest place in the lower 48 states,"
though the average high temperature in the summer is well above most western coastal cities.
There were 45 households out of which 24.4% had children under the age of 18 living with them, 51.1% were married couples living together, 2.2% had a female householder with no husband present, and 46.7% were non-families. 33.3% of all households were made up of individuals and none had someone living alone who was 65 years of age or older. The average household size was 2.22 and the average family size was 3.00.
In the city the population was spread out with 24.0% under the age of 18, 6.0% from 18 to 24, 27.0% from 25 to 44, 40.0% from 45 to 64, and 3.0% who were 65 years of age or older. The median age was 39 years. For every 100 females there were 122.2 males. For every 100 females age 18 and over, there were 123.5 males.
The median income for a household in the city was $37,813, and the median income for a family was $45,625. Males had a median income of $25,000 versus $37,500 for females. The per capita income for the city was $23,303. There were 25.9% of families and 21.4% of the population living below the poverty line, including 47.1% of under eighteens and none of those over 64.