diff --git a/src/ng/compile.js b/src/ng/compile.js
index de65c83e2c2c..e4bf230ed68b 100644
--- a/src/ng/compile.js
+++ b/src/ng/compile.js
@@ -502,7 +502,8 @@ function $CompileProvider($provide, $$sanitizeUriProvider) {
   var hasDirectives = {},
       Suffix = 'Directive',
       COMMENT_DIRECTIVE_REGEXP = /^\s*directive\:\s*([\d\w\-_]+)\s+(.*)$/,
-      CLASS_DIRECTIVE_REGEXP = /(([\d\w\-_]+)(?:\:([^;]+))?;?)/;
+      CLASS_DIRECTIVE_REGEXP = /(([\d\w\-_]+)(?:\:([^;]+))?;?)/,
+      TABLE_CONTENT_REGEXP = /^<\s*(tr|th|td|tbody)(\s+[^>]*)?>/i;
 
   // Ref: http://developers.whatwg.org/webappapis.html#event-handler-idl-attributes
   // The assumption is that future DOM event attribute names will begin with
@@ -1243,9 +1244,7 @@ function $CompileProvider($provide, $$sanitizeUriProvider) {
 
           if (directive.replace) {
             replaceDirective = directive;
-            $template = jqLite('<div>' +
-                                 trim(directiveValue) +
-                               '</div>').contents();
+            $template = directiveTemplateContents(directiveValue);
             compileNode = $template[0];
 
             if ($template.length != 1 || compileNode.nodeType !== 1) {
@@ -1644,6 +1643,28 @@ function $CompileProvider($provide, $$sanitizeUriProvider) {
     }
 
 
+    function directiveTemplateContents(template) {
+      var type;
+      template = trim(template);
+      if ((type = TABLE_CONTENT_REGEXP.exec(template))) {
+        type = type[1].toLowerCase();
+        var table = jqLite('<table>' + template + '</table>'),
+            tbody = table.children('tbody'),
+            leaf = /(td|th)/.test(type) && table.find('tr');
+        if (tbody.length && type !== 'tbody') {
+          table = tbody;
+        }
+        if (leaf && leaf.length) {
+          table = leaf;
+        }
+        return table.contents();
+      }
+      return jqLite('<div>' +
+                      template +
+                    '</div>').contents();
+    }
+
+
     function compileTemplateUrl(directives, $compileNode, tAttrs,
         $rootElement, childTranscludeFn, preLinkFns, postLinkFns, previousCompileContext) {
       var linkQueue = [],
@@ -1668,7 +1689,7 @@ function $CompileProvider($provide, $$sanitizeUriProvider) {
           content = denormalizeTemplate(content);
 
           if (origAsyncDirective.replace) {
-            $template = jqLite('<div>' + trim(content) + '</div>').contents();
+            $template = directiveTemplateContents(content);
             compileNode = $template[0];
 
             if ($template.length != 1 || compileNode.nodeType !== 1) {
diff --git a/test/ng/compileSpec.js b/test/ng/compileSpec.js
index 60b1024bf97f..e9ab15e4b712 100755
--- a/test/ng/compileSpec.js
+++ b/test/ng/compileSpec.js
@@ -517,6 +517,22 @@ describe('$compile', function() {
               expect(element).toBe(attr.$$element);
             }
           }));
+          directive('replaceWithTr', valueFn({
+            replace: true,
+            template: '<tr><td>TR</td></tr>'
+          }));
+          directive('replaceWithTd', valueFn({
+            replace: true,
+            template: '<td>TD</td>'
+          }));
+          directive('replaceWithTh', valueFn({
+            replace: true,
+            template: '<th>TH</th>'
+          }));
+          directive('replaceWithTbody', valueFn({
+            replace: true,
+            template: '<tbody><tr><td>TD</td></tr></tbody>'
+          }));
         }));
 
 
@@ -680,6 +696,34 @@ describe('$compile', function() {
             }).not.toThrow();
           });
         });
+
+        it('should support templates with root <tr> tags', inject(function($compile, $rootScope) {
+          expect(function() {
+            element = $compile('<div replace-with-tr></div>')($rootScope);
+          }).not.toThrow();
+          expect(nodeName_(element)).toMatch(/tr/i);
+        }));
+
+        it('should support templates with root <td> tags', inject(function($compile, $rootScope) {
+          expect(function() {
+            element = $compile('<div replace-with-td></div>')($rootScope);
+          }).not.toThrow();
+          expect(nodeName_(element)).toMatch(/td/i);
+        }));
+
+        it('should support templates with root <th> tags', inject(function($compile, $rootScope) {
+          expect(function() {
+            element = $compile('<div replace-with-th></div>')($rootScope);
+          }).not.toThrow();
+          expect(nodeName_(element)).toMatch(/th/i);
+        }));
+
+        it('should support templates with root <tbody> tags', inject(function($compile, $rootScope) {
+          expect(function() {
+            element = $compile('<div replace-with-tbody></div>')($rootScope);
+          }).not.toThrow();
+          expect(nodeName_(element)).toMatch(/tbody/i);
+        }));
       });
 
 
@@ -776,6 +820,23 @@ describe('$compile', function() {
               replace: true,
               template: '<span>Hello, {{name}}!</span>'
             }));
+
+            directive('replaceWithTr', valueFn({
+              replace: true,
+              templateUrl: 'tr.html'
+            }));
+            directive('replaceWithTd', valueFn({
+              replace: true,
+              templateUrl: 'td.html'
+            }));
+            directive('replaceWithTh', valueFn({
+              replace: true,
+              templateUrl: 'th.html'
+            }));
+            directive('replaceWithTbody', valueFn({
+              replace: true,
+              templateUrl: 'tbody.html'
+            }));
           }
         ));
 
@@ -1411,6 +1472,42 @@ describe('$compile', function() {
             expect(element.html()).toContain('i = 1');
           });
         });
+
+        it('should support templates with root <tr> tags', inject(function($compile, $rootScope, $templateCache) {
+          $templateCache.put('tr.html', '<tr><td>TR</td></tr>');
+          expect(function() {
+            element = $compile('<div replace-with-tr></div>')($rootScope);
+          }).not.toThrow();
+          $rootScope.$digest();
+          expect(nodeName_(element)).toMatch(/tr/i);
+        }));
+
+        it('should support templates with root <td> tags', inject(function($compile, $rootScope, $templateCache) {
+          $templateCache.put('td.html', '<td>TD</td>');
+          expect(function() {
+            element = $compile('<div replace-with-td></div>')($rootScope);
+          }).not.toThrow();
+          $rootScope.$digest();
+          expect(nodeName_(element)).toMatch(/td/i);
+        }));
+
+        it('should support templates with root <th> tags', inject(function($compile, $rootScope, $templateCache) {
+          $templateCache.put('th.html', '<th>TH</th>');
+          expect(function() {
+            element = $compile('<div replace-with-th></div>')($rootScope);
+          }).not.toThrow();
+          $rootScope.$digest();
+          expect(nodeName_(element)).toMatch(/th/i);
+        }));
+
+        it('should support templates with root <tbody> tags', inject(function($compile, $rootScope, $templateCache) {
+          $templateCache.put('tbody.html', '<tbody><tr><td>TD</td></tr></tbody>');
+          expect(function() {
+            element = $compile('<div replace-with-tbody></div>')($rootScope);
+          }).not.toThrow();
+          $rootScope.$digest();
+          expect(nodeName_(element)).toMatch(/tbody/i);
+        }));
       });