The 71-year-old took to social media to share a photo of the hoax, which claims he passed away from prostate cancer and was secretly hiding his illness.
"Please ignore this stupidity. Alive and well and happy and healthy. Still punching," the 'Rocky' star captioned the picture.
Stallone also shared a light-hearted video with her daughters running around as it hailed outside before turned the camera on himself and said, "That'll teach 'em".
He captioned the clip, "Locking my daughters outside during a slight hail storm. It's so great to be back from the Dead!!!"
It's not the first time the 'Creed' star has been the subject of hoax death stories.
Some Facebook users were exposed to fraudulent messages in September 2016, claiming the movie legend had been found dead at his LA home, reports Metro.