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The road sign pictured means:

Slow down and proceed with caution.
Come to a complete stop.
You may not proceed on the road you are traveling on.
Stop only if necessary.
Explanation

A stop sign requires drivers to make a complete stop at the marked stop line, crosswalk, or intersection edge - regardless of visible traffic. This means a full stop (not a "rolling stop"), where the wheels must cease all movement. At stop-controlled intersections, you never have the right-of-way and must yield to pedestrians in crosswalks, oncoming vehicles (including motorcycles and bicycles), and any rail traffic before proceeding. After stopping, check all directions and enter the intersection only when clear.

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This question appears in the following DMV practice tests:
Maine DMV Practice Test 1Illinois DMV Practice Test 1Connecticut DMV Practice Test 10Washington DMV Practice Test 12New Jersey DMV Practice Test 12South Dakota DMV Practice Test 13New Jersey DMV Practice Test 15Ohio BMV Practice Test 19New Mexico MVD Practice Test 19Arkansas DMV Practice Test 20