diff --git a/pytest_lazyfixture.py b/pytest_lazyfixture.py
index 648c624..c156683 100644
--- a/pytest_lazyfixture.py
+++ b/pytest_lazyfixture.py
@@ -24,6 +24,13 @@ def pytest_runtest_setup(item):
         )
 
 
+def get_fixture_value(fname, request):
+    res = request.getfixturevalue(fname)
+    while is_lazy_fixture(res):
+        res = request.getfixturevalue(res.name)
+    return res
+
+
 def fillfixtures(_fillfixtures):
     def fill(request):
         item = request._pyfuncitem
@@ -32,12 +39,12 @@ def fill(request):
 
         for fname in fixturenames:
             if fname not in item.funcargs and fname not in argnames:
-                item.funcargs[fname] = request.getfixturevalue(fname)
+                item.funcargs[fname] = get_fixture_value(fname, request)
 
         if hasattr(item, 'callspec'):
             for param, val in sorted_by_dependency(item.callspec.params, fixturenames):
                 if is_lazy_fixture(val):
-                    item.callspec.params[param] = request.getfixturevalue(val.name)
+                    item.callspec.params[param] = get_fixture_value(val.name, request)
 
         _fillfixtures()
     return fill
@@ -47,7 +54,16 @@ def pytest_runtest_call(item):
     if hasattr(item, 'funcargs'):
         for arg, val in item.funcargs.items():
             if is_lazy_fixture(val):
-                item.funcargs[arg] = item._request.getfixturevalue(val.name)
+                item.funcargs[arg] = get_fixture_value(val.name, item._request)
+
+
+def pytest_fixture_setup(fixturedef, request):
+
+    for argname in fixturedef.argnames:
+        fixdef = request._get_active_fixturedef(argname)
+        result, arg_cache_key, exc = fixdef.cached_result
+        if is_lazy_fixture(result):
+            fixdef.cached_result = (get_fixture_value(result.name, request), arg_cache_key, exc)
 
 
 @pytest.hookimpl(hookwrapper=True)
diff --git a/tests/test_lazyfixture.py b/tests/test_lazyfixture.py
index ad67b2a..f85fae9 100644
--- a/tests/test_lazyfixture.py
+++ b/tests/test_lazyfixture.py
@@ -580,3 +580,59 @@ def test_sorted_by_dependency(params, expected_paths):
 ])
 def test_sorted_argnames(params, fixturenames, expect_keys):
     assert list(_sorted_argnames(params, fixturenames)) == expect_keys
+
+
+def test_lazy_fixture_nested_fixtures(testdir):
+    testdir.makepyfile("""
+        import pytest
+        @pytest.fixture
+        def one(request):
+            return "SOME_VALUE"
+        @pytest.fixture
+        def two(request):
+            return "SOME_VALUE2"
+        @pytest.fixture(params=["one", "two"])
+        def some_fixture1(request):
+            return pytest.lazy_fixture(request.param)
+        @pytest.fixture
+        def some_fixture2(some_fixture1):
+            return "NEW_" + some_fixture1
+        def test_func(some_fixture2):
+            assert ((some_fixture2 == "NEW_SOME_VALUE") or (some_fixture2 == "NEW_SOME_VALUE2"))
+    """)
+    reprec = testdir.inline_run('-s')
+    reprec.assertoutcome(passed=2)
+
+
+def test_lazy_fixture_nested_fixtures_in_parametrize(testdir):
+    testdir.makepyfile("""
+        import pytest
+        @pytest.fixture
+        def one(request):
+            return "SOME_VALUE"
+        @pytest.fixture
+        def two(request):
+            return "SOME_VALUE2"
+        @pytest.fixture
+        def some_fixture_one():
+            return pytest.lazy_fixture("one")
+        @pytest.fixture
+        def some_fixture_two(request):
+            return pytest.lazy_fixture("two")
+        @pytest.fixture
+        def some_nested_fixture_one(some_fixture_one):
+            return "NEW_" + some_fixture_one
+        @pytest.fixture
+        def some_nested_fixture_two(some_fixture_two):
+            return "NEW_" + some_fixture_two
+        @pytest.mark.parametrize('arg1,arg2,arg3', [
+            ('val1',
+             pytest.lazy_fixture('some_nested_fixture_one'),
+             pytest.lazy_fixture('some_nested_fixture_two')),
+        ])
+        def test_func(arg1, arg2, arg3):
+            assert (arg2 == "NEW_SOME_VALUE")
+            assert (arg3 == "NEW_SOME_VALUE2")
+    """)
+    reprec = testdir.inline_run('-s')
+    reprec.assertoutcome(passed=1)