Each year, thousands of people suffer from traumatic peripheral nerve lesions, which impair mobility and sensibility and frequently have fatal outcomes. The recovery of peripheral nerves on its own is frequently insufficient. In this regard, cell therapy is currently one of the most cutting-edge techniques for nerve healing. The purpose of this review is to highlight the properties of various types of mesenchymal stem cells (MSCs) that are critical for peripheral nerve regeneration after nerve injury. The Preferred Reporting term used to review the available literature are "nerve regeneration," "stem cells," "peripheral nerve damage," "rat," and "human" were combined. In addition, using the phrases "stem cells" and "nerve regeneration" in PubMed, a "MeSH" search was conducted. This study describes the features of the most often utilized MSCs, as well as its paracrine potential, targeted stimulation, and propensity for differentiation into Schwann-like and neuronal-like cells. For the repair of peripheral nerve lesions, ADSCs appear to be the most relevant and promising MSCs, because of their ability to sustain and increase axonal growth, as well as their outstanding paracrine activity, putative differentiation potential, low immunogenicity, and excellent post-transplant survival rate.