There are many debates on the preparation methods and the role of ultrasonication on the stability, thermophysical properties, and heat transfer performance of nanofluids. The present study, which is the continuation of the authors previous study, the effects of ultrasonication on the thermal and fluid dynamic performance of MWCNT-water nanofluid, over a different range of temperatures and solid concentrations, based on the thermophysical properties of the nanofluid, has been investigated. The effects of ultrasonication time on the stability and thermophysical properties of the nanofluid were studied over 30 days of the samples preparation. The thermophysical properties of the nanofluid have been experimentally measured at the optimum ultrasonication time. Using the experimental data, and employing different figures-of-merit, the effects that the addition of MWCNTs had on the heat transfer effectiveness and pumping power have been studied. It was confirmed that the nanofluid is a good heat transfer fluid, with a negligible penalty in pumping power. The thermal and fluid dynamic performance of the nanofluid in a microchannel heat sink has also been studied, by comparing the enhancement ratio of the convective heat transfer coefficient and the increase in pumping power.