diff --git a/bin/pyenv-virtualenv-init b/bin/pyenv-virtualenv-init
index e12769a..2685f03 100755
--- a/bin/pyenv-virtualenv-init
+++ b/bin/pyenv-virtualenv-init
@@ -106,11 +106,42 @@ fish )
   cat <<EOS
 function _pyenv_virtualenv_hook --on-event fish_prompt;
   set -l ret \$status
+  if test "\$PWD" = "\$_PYENV_VH_PWD" \\
+    -a "\$PYENV_VERSION" = "\$_PYENV_VH_VERSION" \\
+    -a "\$VIRTUAL_ENV" = "\$_PYENV_VH_VENV" \\
+    -a -f "\$_PYENV_VH_MARKER"
+    if test -n "\$PYENV_VERSION"
+      return \$ret
+    end
+    set -l d "\$PWD"
+    set -l stale 0
+    set -l found 0
+    while true
+      if test -f "\$d/.python-version"
+        set found 1
+        test "\$d/.python-version" -nt "\$_PYENV_VH_MARKER"; and set stale 1
+        break
+      end
+      test "\$d" -nt "\$_PYENV_VH_MARKER"; and begin; set stale 1; break; end
+      test "\$d" = "/"; and break
+      set d (string replace -r '/[^/]*\$' '' -- "\$d")
+      test -z "\$d"; and set d "/"
+    end
+    if test \$stale = 0 -a \$found = 0
+      test -f "\$PYENV_ROOT/version"; and test "\$PYENV_ROOT/version" -nt "\$_PYENV_VH_MARKER"; and set stale 1
+    end
+    test \$stale = 0; and return \$ret
+  end
   if [ -n "\$VIRTUAL_ENV" ]
     pyenv activate --quiet; or pyenv deactivate --quiet; or true
   else
     pyenv activate --quiet; or true
   end
+  set -g _PYENV_VH_PWD "\$PWD"
+  set -g _PYENV_VH_VERSION "\$PYENV_VERSION"
+  set -g _PYENV_VH_VENV "\$VIRTUAL_ENV"
+  set -g _PYENV_VH_MARKER "\$PYENV_ROOT/.pyenv-vh-marker-\$fish_pid"
+  command touch "\$_PYENV_VH_MARKER"
   return \$ret
 end
 EOS
@@ -130,11 +161,42 @@ esac
 if [[ "$shell" != "fish" ]]; then
   cat <<EOS
   local ret=\$?
+  if [ "\${PWD}" = "\${_PYENV_VH_PWD-}" ] \\
+    && [ "\${PYENV_VERSION-}" = "\${_PYENV_VH_VERSION-}" ] \\
+    && [ "\${VIRTUAL_ENV-}" = "\${_PYENV_VH_VENV-}" ] \\
+    && [ -f "\${_PYENV_VH_MARKER-}" ]; then
+    if [ -n "\${PYENV_VERSION-}" ]; then
+      return \$ret
+    fi
+    local _pvh_d="\${PWD}" _pvh_stale=0 _pvh_found=0
+    while :; do
+      if [ -f "\${_pvh_d}/.python-version" ]; then
+        _pvh_found=1
+        [ "\${_pvh_d}/.python-version" -nt "\${_PYENV_VH_MARKER}" ] && _pvh_stale=1
+        break
+      fi
+      [ "\${_pvh_d}" -nt "\${_PYENV_VH_MARKER}" ] && { _pvh_stale=1; break; }
+      [ "\${_pvh_d}" = "/" ] && break
+      _pvh_d="\${_pvh_d%/*}"
+      [ -z "\${_pvh_d}" ] && _pvh_d="/"
+    done
+    if [ "\${_pvh_stale}" = 0 ] && [ "\${_pvh_found}" = 0 ]; then
+      [ -f "\${PYENV_ROOT}/version" ] \\
+        && [ "\${PYENV_ROOT}/version" -nt "\${_PYENV_VH_MARKER}" ] \\
+        && _pvh_stale=1
+    fi
+    [ "\${_pvh_stale}" = 0 ] && return \$ret
+  fi
   if [ -n "\${VIRTUAL_ENV-}" ]; then
     eval "\$(pyenv sh-activate --quiet || pyenv sh-deactivate --quiet || true)" || true
   else
     eval "\$(pyenv sh-activate --quiet || true)" || true
   fi
+  _PYENV_VH_PWD="\${PWD}"
+  _PYENV_VH_VERSION="\${PYENV_VERSION-}"
+  _PYENV_VH_VENV="\${VIRTUAL_ENV-}"
+  _PYENV_VH_MARKER="\${PYENV_ROOT}/.pyenv-vh-marker-\$\$"
+  : > "\${_PYENV_VH_MARKER}"
   return \$ret
 };
 EOS
diff --git a/test/init.bats b/test/init.bats
index 85f2b42..9446c6a 100644
--- a/test/init.bats
+++ b/test/init.bats
@@ -54,11 +54,42 @@ export PATH="${TMP}/pyenv/plugins/pyenv-virtualenv/shims:\${PATH}";
 export PYENV_VIRTUALENV_INIT=1;
 _pyenv_virtualenv_hook() {
   local ret=\$?
+  if [ "\${PWD}" = "\${_PYENV_VH_PWD-}" ] \\
+    && [ "\${PYENV_VERSION-}" = "\${_PYENV_VH_VERSION-}" ] \\
+    && [ "\${VIRTUAL_ENV-}" = "\${_PYENV_VH_VENV-}" ] \\
+    && [ -f "\${_PYENV_VH_MARKER-}" ]; then
+    if [ -n "\${PYENV_VERSION-}" ]; then
+      return \$ret
+    fi
+    local _pvh_d="\${PWD}" _pvh_stale=0 _pvh_found=0
+    while :; do
+      if [ -f "\${_pvh_d}/.python-version" ]; then
+        _pvh_found=1
+        [ "\${_pvh_d}/.python-version" -nt "\${_PYENV_VH_MARKER}" ] && _pvh_stale=1
+        break
+      fi
+      [ "\${_pvh_d}" -nt "\${_PYENV_VH_MARKER}" ] && { _pvh_stale=1; break; }
+      [ "\${_pvh_d}" = "/" ] && break
+      _pvh_d="\${_pvh_d%/*}"
+      [ -z "\${_pvh_d}" ] && _pvh_d="/"
+    done
+    if [ "\${_pvh_stale}" = 0 ] && [ "\${_pvh_found}" = 0 ]; then
+      [ -f "\${PYENV_ROOT}/version" ] \\
+        && [ "\${PYENV_ROOT}/version" -nt "\${_PYENV_VH_MARKER}" ] \\
+        && _pvh_stale=1
+    fi
+    [ "\${_pvh_stale}" = 0 ] && return \$ret
+  fi
   if [ -n "\${VIRTUAL_ENV-}" ]; then
     eval "\$(pyenv sh-activate --quiet || pyenv sh-deactivate --quiet || true)" || true
   else
     eval "\$(pyenv sh-activate --quiet || true)" || true
   fi
+  _PYENV_VH_PWD="\${PWD}"
+  _PYENV_VH_VERSION="\${PYENV_VERSION-}"
+  _PYENV_VH_VENV="\${VIRTUAL_ENV-}"
+  _PYENV_VH_MARKER="\${PYENV_ROOT}/.pyenv-vh-marker-\$\$"
+  : > "\${_PYENV_VH_MARKER}"
   return \$ret
 };
 if ! [[ "\${PROMPT_COMMAND-}" =~ _pyenv_virtualenv_hook ]]; then
@@ -78,11 +109,42 @@ set -gx PATH '${TMP}/pyenv/plugins/pyenv-virtualenv/shims' \$PATH;
 set -gx PYENV_VIRTUALENV_INIT 1;
 function _pyenv_virtualenv_hook --on-event fish_prompt;
   set -l ret \$status
+  if test "\$PWD" = "\$_PYENV_VH_PWD" \\
+    -a "\$PYENV_VERSION" = "\$_PYENV_VH_VERSION" \\
+    -a "\$VIRTUAL_ENV" = "\$_PYENV_VH_VENV" \\
+    -a -f "\$_PYENV_VH_MARKER"
+    if test -n "\$PYENV_VERSION"
+      return \$ret
+    end
+    set -l d "\$PWD"
+    set -l stale 0
+    set -l found 0
+    while true
+      if test -f "\$d/.python-version"
+        set found 1
+        test "\$d/.python-version" -nt "\$_PYENV_VH_MARKER"; and set stale 1
+        break
+      end
+      test "\$d" -nt "\$_PYENV_VH_MARKER"; and begin; set stale 1; break; end
+      test "\$d" = "/"; and break
+      set d (string replace -r '/[^/]*\$' '' -- "\$d")
+      test -z "\$d"; and set d "/"
+    end
+    if test \$stale = 0 -a \$found = 0
+      test -f "\$PYENV_ROOT/version"; and test "\$PYENV_ROOT/version" -nt "\$_PYENV_VH_MARKER"; and set stale 1
+    end
+    test \$stale = 0; and return \$ret
+  end
   if [ -n "\$VIRTUAL_ENV" ]
     pyenv activate --quiet; or pyenv deactivate --quiet; or true
   else
     pyenv activate --quiet; or true
   end
+  set -g _PYENV_VH_PWD "\$PWD"
+  set -g _PYENV_VH_VERSION "\$PYENV_VERSION"
+  set -g _PYENV_VH_VENV "\$VIRTUAL_ENV"
+  set -g _PYENV_VH_MARKER "\$PYENV_ROOT/.pyenv-vh-marker-\$fish_pid"
+  command touch "\$_PYENV_VH_MARKER"
   return \$ret
 end
 EOS
@@ -97,11 +159,42 @@ export PATH="${TMP}/pyenv/plugins/pyenv-virtualenv/shims:\${PATH}";
 export PYENV_VIRTUALENV_INIT=1;
 _pyenv_virtualenv_hook() {
   local ret=\$?
+  if [ "\${PWD}" = "\${_PYENV_VH_PWD-}" ] \\
+    && [ "\${PYENV_VERSION-}" = "\${_PYENV_VH_VERSION-}" ] \\
+    && [ "\${VIRTUAL_ENV-}" = "\${_PYENV_VH_VENV-}" ] \\
+    && [ -f "\${_PYENV_VH_MARKER-}" ]; then
+    if [ -n "\${PYENV_VERSION-}" ]; then
+      return \$ret
+    fi
+    local _pvh_d="\${PWD}" _pvh_stale=0 _pvh_found=0
+    while :; do
+      if [ -f "\${_pvh_d}/.python-version" ]; then
+        _pvh_found=1
+        [ "\${_pvh_d}/.python-version" -nt "\${_PYENV_VH_MARKER}" ] && _pvh_stale=1
+        break
+      fi
+      [ "\${_pvh_d}" -nt "\${_PYENV_VH_MARKER}" ] && { _pvh_stale=1; break; }
+      [ "\${_pvh_d}" = "/" ] && break
+      _pvh_d="\${_pvh_d%/*}"
+      [ -z "\${_pvh_d}" ] && _pvh_d="/"
+    done
+    if [ "\${_pvh_stale}" = 0 ] && [ "\${_pvh_found}" = 0 ]; then
+      [ -f "\${PYENV_ROOT}/version" ] \\
+        && [ "\${PYENV_ROOT}/version" -nt "\${_PYENV_VH_MARKER}" ] \\
+        && _pvh_stale=1
+    fi
+    [ "\${_pvh_stale}" = 0 ] && return \$ret
+  fi
   if [ -n "\${VIRTUAL_ENV-}" ]; then
     eval "\$(pyenv sh-activate --quiet || pyenv sh-deactivate --quiet || true)" || true
   else
     eval "\$(pyenv sh-activate --quiet || true)" || true
   fi
+  _PYENV_VH_PWD="\${PWD}"
+  _PYENV_VH_VERSION="\${PYENV_VERSION-}"
+  _PYENV_VH_VENV="\${VIRTUAL_ENV-}"
+  _PYENV_VH_MARKER="\${PYENV_ROOT}/.pyenv-vh-marker-\$\$"
+  : > "\${_PYENV_VH_MARKER}"
   return \$ret
 };
 typeset -g -a precmd_functions