We report the synthesis and characterization of nanocrystalline PbxEuyS, a potentially important dilute magnetic semiconductor. The thermolysis of mixed precursors was adapted for the formation of homogeneous alloyed nanocrystals. Energy dispersive spectroscopy provided the atomic composition for PbxEuyS nanocrystals, which we juxtaposed with the ratio of the precursors. X-ray diffraction and magnetization measurements of the nanocrystals provided evidence that no phase separation occurred for europium concentrations of up to y = 0.15. (C) 2012 Elsevier B.V. All rights reserved.