Freddy Krueger returns once again to terrorize the dreams of the remaining Dream Warriors, as well as those of a young woman who may be able to defeat him for good.

Following up the previous Nightmare film, the dream demon Freddy Krueger is resurrected from his apparent demise, and rapidly tracks down all three of the surviving Elm Street kids.

However, Kristen Parker soon realizes that Freddy is taking advantage of that unknown power she now wields to pull a new group of teenage children into his foul domain. Can she finally defeat Freddy or is it already too late?