diff --git a/lib/loaders/pitcher.js b/lib/loaders/pitcher.js
index 62a7a894..b4418de3 100644
--- a/lib/loaders/pitcher.js
+++ b/lib/loaders/pitcher.js
@@ -101,9 +101,15 @@ module.exports.pitch = function (remainingRequest) {
 
   // for templates: inject the template compiler & optional cache
   if (query.type === `template`) {
+    const path = require('path')
     const cacheLoader = cacheDirectory && cacheIdentifier
       ? [`cache-loader?${JSON.stringify({
-        cacheDirectory,
+        // For some reason, webpack fails to generate consistent hash if we
+        // use absolute paths here, even though the path is only used in a
+        // comment. For now we have to ensure cacheDirectory is a relative path.
+        cacheDirectory: path.isAbsolute(cacheDirectory)
+          ? path.relative(process.cwd(), cacheDirectory)
+          : cacheDirectory,
         cacheIdentifier: hash(cacheIdentifier) + '-vue-loader-template'
       })}`]
       : []