diff --git a/python/tests/builder/test_observe.py b/python/tests/builder/test_observe.py
index 465c867959..db7b542306 100644
--- a/python/tests/builder/test_observe.py
+++ b/python/tests/builder/test_observe.py
@@ -738,6 +738,46 @@ def test_combine_sweep():
         assert assert_close(expectedEnergy, sum, tolerance=1e-2)
 
 
+def test_batched_observe_results():
+    # Test bug #1396
+    # Seed for repeatability
+    np.random.seed(4)
+    qubit_count = 3
+    num_of_samples = 3
+    num_of_params = 3
+    theta_vals = np.random.rand(num_of_samples, num_of_params)
+    kernel, thetas = cudaq.make_kernel(list)
+    qubits = kernel.qalloc(qubit_count)
+    kernel.ry(thetas[0], qubits[0])
+    kernel.rx(thetas[1], qubits[1])
+    kernel.rz(thetas[2], qubits[2])
+
+    hamiltonian = [spin.z(0)]
+    results_1 = cudaq.observe(kernel, hamiltonian, theta_vals)
+
+    hamiltonian = [spin.z(0), spin.z(1)]
+    results_2 = cudaq.observe(kernel, hamiltonian, theta_vals)
+
+    hamiltonian = [spin.z(0), spin.z(1), spin.z(2)]
+    results_3 = cudaq.observe(kernel, hamiltonian, theta_vals)
+
+    for param_set_id in range(num_of_samples):
+        assert len(results_1[param_set_id]) == 1
+        assert len(results_2[param_set_id]) == 2
+        assert len(results_3[param_set_id]) == 3
+        # First item is <Z0>: all should be the same
+        assert assert_close(results_2[param_set_id][0].expectation(),
+                            results_1[param_set_id][0].expectation(),
+                            tolerance=1e-6)
+        assert assert_close(results_3[param_set_id][0].expectation(),
+                            results_1[param_set_id][0].expectation(),
+                            tolerance=1e-6)
+        # Second item is <Z1>: third and second should match
+        assert assert_close(results_3[param_set_id][1].expectation(),
+                            results_2[param_set_id][1].expectation(),
+                            tolerance=1e-6)
+
+
 # leave for gdb debugging
 if __name__ == "__main__":
     loc = os.path.abspath(__file__)
diff --git a/runtime/common/ObserveResult.h b/runtime/common/ObserveResult.h
index 1a86f6bce9..b819f2b9a9 100644
--- a/runtime/common/ObserveResult.h
+++ b/runtime/common/ObserveResult.h
@@ -77,8 +77,11 @@ class observe_result {
     // on more than 1 qubit can be <ZIII...III>
     auto numQubits = spinOp.num_qubits();
     auto termStr = term.to_string(false);
-    if (!data.has_expectation(termStr) && termStr.size() == 1 && numQubits > 1)
-      for (std::size_t i = 1; i < numQubits; i++)
+    // Expand the string representation of the term to match the number of
+    // qubits of the overall spin_op this result represents by appending
+    // identity ops.
+    if (!data.has_expectation(termStr))
+      for (std::size_t i = termStr.size(); i < numQubits; i++)
         termStr += "I";
     return data.expectation(termStr);
   }