diff --git a/addons/xterm-addon-webgl/src/atlas/CharAtlasUtils.ts b/addons/xterm-addon-webgl/src/atlas/CharAtlasUtils.ts
index e8e19095..ad25bf87 100644
--- a/addons/xterm-addon-webgl/src/atlas/CharAtlasUtils.ts
+++ b/addons/xterm-addon-webgl/src/atlas/CharAtlasUtils.ts
@@ -24,7 +24,8 @@ export function generateConfig(scaledCharWidth: number, scaledCharHeight: number
     selectionOpaque: NULL_COLOR,
     // For the static char atlas, we only use the first 16 colors, but we need all 256 for the
     // dynamic character atlas.
-    ansi: colors.ansi.slice()
+    ansi: colors.ansi.slice(),
+    contrastCache: {} as any
   };
   return {
     devicePixelRatio: window.devicePixelRatio,
diff --git a/src/Terminal.ts b/src/Terminal.ts
index b08270fd..927ff47b 100644
--- a/src/Terminal.ts
+++ b/src/Terminal.ts
@@ -546,6 +546,7 @@ export class Terminal extends Disposable implements ITerminal, IDisposable, IInp
     this._theme = this.options.theme || this._theme;
     this.options.theme = undefined;
     this._colorManager = new ColorManager(document, this.options.allowTransparency);
+    this.optionsService.onOptionChange(e => this._colorManager.onOptionsChange(e));
     this._colorManager.setTheme(this._theme);
 
     const renderer = this._createRenderer();
diff --git a/src/browser/ColorContrastCache.ts b/src/browser/ColorContrastCache.ts
new file mode 100644
index 00000000..3198ad83
--- /dev/null
+++ b/src/browser/ColorContrastCache.ts
@@ -0,0 +1,38 @@
+/**
+ * Copyright (c) 2017 The xterm.js authors. All rights reserved.
+ * @license MIT
+ */
+
+import { IColor, IColorContrastCache } from 'browser/Types';
+
+export class ColorContrastCache implements IColorContrastCache {
+  private _color: { [bg: number]: { [fg: number]: IColor | null | undefined } | undefined } = {};
+  private _rgba: { [bg: number]: { [fg: number]: number | null | undefined } | undefined } = {};
+
+  public clear(): void {
+    this._color = {};
+    this._rgba = {};
+  }
+
+  public setRgba(bg: number, fg: number, value: number | null): void {
+    if (!this._rgba[bg]) {
+      this._rgba[bg] = {};
+    }
+    this._rgba[bg]![fg] = value;
+  }
+
+  public getRgba(bg: number, fg: number): number | null | undefined {
+    return this._rgba[bg] ? this._rgba[bg]![fg] : undefined;
+  }
+
+  public setColor(bg: number, fg: number, value: IColor | null): void {
+    if (!this._color[bg]) {
+      this._color[bg] = {};
+    }
+    this._color[bg]![fg] = value;
+  }
+
+  public getColor(bg: number, fg: number): IColor | null | undefined {
+    return this._color[bg] ? this._color[bg]![fg] : undefined;
+  }
+}
diff --git a/src/browser/ColorManager.ts b/src/browser/ColorManager.ts
index c6354f71..92994cfc 100644
--- a/src/browser/ColorManager.ts
+++ b/src/browser/ColorManager.ts
@@ -3,9 +3,10 @@
  * @license MIT
  */
 
-import { IColorManager, IColor, IColorSet } from 'browser/Types';
+import { IColorManager, IColor, IColorSet, IColorContrastCache } from 'browser/Types';
 import { ITheme } from 'common/services/Services';
 import { fromCss, toCss, blend, toRgba } from 'browser/Color';
+import { ColorContrastCache } from 'browser/ColorContrastCache';
 
 const DEFAULT_FOREGROUND = fromCss('#ffffff');
 const DEFAULT_BACKGROUND = fromCss('#000000');
@@ -72,6 +73,7 @@ export class ColorManager implements IColorManager {
   public colors: IColorSet;
   private _ctx: CanvasRenderingContext2D;
   private _litmusColor: CanvasGradient;
+  private _contrastCache: IColorContrastCache;
 
   constructor(document: Document, public allowTransparency: boolean) {
     const canvas = document.createElement('canvas');
@@ -84,6 +86,7 @@ export class ColorManager implements IColorManager {
     this._ctx = ctx;
     this._ctx.globalCompositeOperation = 'copy';
     this._litmusColor = this._ctx.createLinearGradient(0, 0, 1, 1);
+    this._contrastCache = new ColorContrastCache();
     this.colors = {
       foreground: DEFAULT_FOREGROUND,
       background: DEFAULT_BACKGROUND,
@@ -91,10 +94,17 @@ export class ColorManager implements IColorManager {
       cursorAccent: DEFAULT_CURSOR_ACCENT,
       selection: DEFAULT_SELECTION,
       selectionOpaque: blend(DEFAULT_BACKGROUND, DEFAULT_SELECTION),
-      ansi: DEFAULT_ANSI_COLORS.slice()
+      ansi: DEFAULT_ANSI_COLORS.slice(),
+      contrastCache: this._contrastCache
     };
   }
 
+  public onOptionsChange(key: string): void {
+    if (key === 'minimumContrastRatio') {
+      this._contrastCache.clear();
+    }
+  }
+
   /**
    * Sets the terminal's theme.
    * @param theme The  theme to use. If a partial theme is provided then default
@@ -123,6 +133,8 @@ export class ColorManager implements IColorManager {
     this.colors.ansi[13] = this._parseColor(theme.brightMagenta, DEFAULT_ANSI_COLORS[13]);
     this.colors.ansi[14] = this._parseColor(theme.brightCyan, DEFAULT_ANSI_COLORS[14]);
     this.colors.ansi[15] = this._parseColor(theme.brightWhite, DEFAULT_ANSI_COLORS[15]);
+    // Clear our the cache
+    this._contrastCache.clear();
   }
 
   private _parseColor(
diff --git a/src/browser/Types.d.ts b/src/browser/Types.d.ts
index ca852b6a..06c3fe38 100644
--- a/src/browser/Types.d.ts
+++ b/src/browser/Types.d.ts
@@ -8,6 +8,7 @@ import { IDisposable } from 'common/Types';
 
 export interface IColorManager {
   colors: IColorSet;
+  onOptionsChange(key: string): void;
 }
 
 export interface IColor {
@@ -24,6 +25,15 @@ export interface IColorSet {
   /** The selection blended on top of background. */
   selectionOpaque: IColor;
   ansi: IColor[];
+  contrastCache: IColorContrastCache
+}
+
+export interface IColorContrastCache {
+  clear(): void;
+  setRgba(bg: number, fg: number, value: number | null): void;
+  getRgba(bg: number, fg: number): number | null | undefined;
+  setColor(bg: number, fg: number, value: IColor | null): void;
+  getColor(bg: number, fg: number): IColor | null | undefined;
 }
 
 export interface IPartialColorSet {
diff --git a/src/browser/renderer/dom/DomRendererRowFactory.ts b/src/browser/renderer/dom/DomRendererRowFactory.ts
index b5caccaf..bb96fb72 100644
--- a/src/browser/renderer/dom/DomRendererRowFactory.ts
+++ b/src/browser/renderer/dom/DomRendererRowFactory.ts
@@ -167,9 +167,17 @@ export class DomRendererRowFactory {
       return false;
     }
 
-    const adustedColor = ensureContrastRatio(bg, fg, this._optionsService.options.minimumContrastRatio);
-    if (adustedColor) {
-      element.setAttribute('style', `${element.getAttribute('style') || ''}color:${adustedColor.css}`);
+    // Try get from cache first
+    let adjustedColor = this._colors.contrastCache.getColor(this._workCell.bg, this._workCell.fg);
+
+    // Calculate and store in cache
+    if (adjustedColor === undefined) {
+      adjustedColor = ensureContrastRatio(bg, fg, this._optionsService.options.minimumContrastRatio);
+      this._colors.contrastCache.setColor(this._workCell.bg, this._workCell.fg, adjustedColor ?? null);
+    }
+
+    if (adjustedColor) {
+      element.setAttribute('style', `${element.getAttribute('style') || ''}color:${adjustedColor.css}`);
       return true;
     }