Cobalt doped zinc oxide nanoparticles were prepared through simple wet chemical method. X-ray diffraction studies confirm the prepared particles are in wurtzite structure. Scanning Electron Microscopy studies show the shape and morphology of the particles. To identify the presence of cobalt in ZnO, Energy Dispersive X-ray analysis was done. Optical absorption measurements show the presence of exciton peak at 375 nm. Photoluminescence studies were done with the excitation wavelength of 330 nm, which shows the emission because of exciton recombination and oxygen vacancy.