Schottky diodes to be used for mechanical stress effect studies were fabricated using aluminum contacts to polycrystalline diamond thin films grown by a hot-filament assisted chemical vapor deposition process. Compressive stress was found to have a large effect on the forward biased current-voltage characteristics of the diode. At selected values of constant forward biased current, a linear relationship between voltage and stress, for stress less than 10 N was observed. The stress sensitivity of the diode was as high as 0.74 V/N at 1 mA forward bias. This study shows that polycrystalline diamond Schottky diodes are stress sensitive devices and have potential as mechanical sensors.