The film stars Paul Le Mat, Irene Miracle, Matt Roe and Kathryn O'Reilly as psychics who are plotted against by a former colleague, using puppets animated by an Egyptian spell.

50 years later, in 1989, four psychics miles apart are all "contacted" by Neil Gallagher, all five of them previously being acquaintances: Professor Alex Whitaker through a nightmare involving Neil and leeches, Dana Hadley via a premonition of her own death, and psychic researchers Frank Forrester and Carissa Stamford through unspecified means.

Dana has also uncovered Toulon's "hiding place" and tells the others, arranging a meeting at the Bodega Bay Inn, where Neil resides.

She leaves them with the body to pay respects and Dana stabs a long pin into Neil's corpse to verify that he is in fact dead.

That night at dinner, Dana intentionally riles Megan, causing her to leave the table and Pinhead, another animated doll, crawls out of Neil's casket.

Carissa, a psychometrist, can see any object's emotional history by touching it, Dana can tell fortunes and locate items and people, and Alex himself can foresee the future in his dreams.

Pinhead chases her and repeatedly strangles and punches her until she manages to knock him away and crawl to the elevator, only to have her throat slit by Blade, fulfilling her fortune.

The next day, Megan sees Alex off and as she ascends the stairs, she brings Dana's stuffed dog Leroy to life.

On April 10, 2018, Full Moon issued both a Blu-ray and a limited-edition vintage VHS collection, with the latter having only 3,000 units produced, and the first 300 being signed and numbered by Charles Band.

"[6] Wes R. from Oh the Horror.com gave a positive review stating, "Despite its flaws, Puppet Master emerges as one of the more enjoyable of the 'killer toy' type horror films".