diff --git a/src/cl-functions.lisp b/src/cl-functions.lisp
index 361718b..4a69b18 100644
--- a/src/cl-functions.lisp
+++ b/src/cl-functions.lisp
@@ -152,7 +152,7 @@
 
 (defmethod custom-form-type ((first (eql 'values)) args env)
   (values `(values ,@(loop :for form :in args
-                           :collect (form-type form env)))
+                           :collect (nth-form-type form env)))
           t))
 
 (defmethod custom-form-type ((first (eql 'coerce)) arguments env)
diff --git a/test/custom-types.lisp b/test/custom-types.lisp
index c9977b4..f375733 100644
--- a/test/custom-types.lisp
+++ b/test/custom-types.lisp
@@ -121,3 +121,19 @@
       (is-form-type t
 	(coerce)
 	:strict t))))
+
+(test (values :compile-at :run-time)
+  "Test FORM-TYPE on VALUES forms"
+
+  (flet ((bar (x)
+           (declare (ignore x))
+           (list 1 2 3 4)))
+    (declare (ftype (function * (values &rest number)) bar))
+
+    (is-form-type string
+      (values "" (bar x)))
+
+    (is-form-type number
+      (values "" (bar x))
+
+      :n 1)))