diff --git a/src/generators/dom/visitors/Component/Component.js b/src/generators/dom/visitors/Component/Component.js
index c54945338d..9a2dbf0025 100644
--- a/src/generators/dom/visitors/Component/Component.js
+++ b/src/generators/dom/visitors/Component/Component.js
@@ -113,9 +113,11 @@ export default function visitComponent ( generator, block, state, node ) {
 			`var ${yieldFragment} = ${childBlock.name}( ${params}, ${block.component} );`
 		);
 
-		block.builders.update.addLine(
-			`${yieldFragment}.update( changed, ${params} );`
-		);
+		if ( childBlock.hasUpdateMethod ) {
+			block.builders.update.addLine(
+				`${yieldFragment}.update( changed, ${params} );`
+			);
+		}
 
 		componentInitProperties.push( `_yield: ${yieldFragment}`);
 	}
@@ -183,4 +185,4 @@ export default function visitComponent ( generator, block, state, node ) {
 
 	block.builders.create.addBlock( local.create );
 	if ( !local.update.isEmpty() ) block.builders.update.addBlock( local.update );
-}
\ No newline at end of file
+}
diff --git a/test/runtime/samples/component-yield-static/Widget.html b/test/runtime/samples/component-yield-static/Widget.html
new file mode 100644
index 0000000000..25141c9254
--- /dev/null
+++ b/test/runtime/samples/component-yield-static/Widget.html
@@ -0,0 +1 @@
+<b>{{yield}}</b>
diff --git a/test/runtime/samples/component-yield-static/_config.js b/test/runtime/samples/component-yield-static/_config.js
new file mode 100644
index 0000000000..06bcd82882
--- /dev/null
+++ b/test/runtime/samples/component-yield-static/_config.js
@@ -0,0 +1,12 @@
+export default {
+	html: `
+		<b>Hello</b>
+	`,
+
+	test ( assert, component, target ) {
+		component.set( { name: 'World' } );
+		assert.htmlEqual( target.innerHTML, `
+			<b>Hello</b> World
+		` );
+	}
+};
diff --git a/test/runtime/samples/component-yield-static/main.html b/test/runtime/samples/component-yield-static/main.html
new file mode 100644
index 0000000000..5e2fffc76a
--- /dev/null
+++ b/test/runtime/samples/component-yield-static/main.html
@@ -0,0 +1,12 @@
+<Widget>Hello</Widget> {{name}}
+
+<script>
+	import Widget from './Widget.html';
+
+	export default {
+		components: { Widget },
+		data() {
+			return { name: '' };
+		}
+	};
+</script>