diff --git a/e2e/__external-repos__/simple-project-references/jest.config.js b/e2e/__external-repos__/simple-project-references/jest.config.js
index 1942d9a712..18ff5f36d5 100644
--- a/e2e/__external-repos__/simple-project-references/jest.config.js
+++ b/e2e/__external-repos__/simple-project-references/jest.config.js
@@ -1,12 +1,16 @@
 /** @type {import('@jest/types').Config.InitialOptions} */
 /** @typedef {import('ts-jest')} */
 
+const { pathsToModuleNameMapper } = require('ts-jest/utils');
+const { compilerOptions } = require('./tsconfig-base');
+
 module.exports = {
   preset: 'ts-jest',
   testEnvironment: 'node',
   // Ignore the TS project `outDir`
   // https://github.com/kulshekhar/ts-jest/issues/765
   testPathIgnorePatterns: ['<rootDir>/target/'],
+  moduleNameMapper: pathsToModuleNameMapper(compilerOptions.paths, { prefix: '<rootDir>/' }),
   globals: {
     'ts-jest': {
       isolatedModules: true,
diff --git a/e2e/__external-repos__/simple-project-references/src/__tests__/divide.ts b/e2e/__external-repos__/simple-project-references/src/__tests__/divide.ts
new file mode 100644
index 0000000000..a83fa96f0f
--- /dev/null
+++ b/e2e/__external-repos__/simple-project-references/src/__tests__/divide.ts
@@ -0,0 +1,10 @@
+import { divide } from '~'
+import { divide as _divide } from '~/divide'
+
+test('imports same divide function', () => {
+  expect(_divide).toBe(divide)
+})
+
+test('divides 3 / 2 to equal 1.5', () => {
+  expect(divide(3, 2)).toBe(1.5)
+})
diff --git a/e2e/__external-repos__/simple-project-references/src/__tests__/multiply.ts b/e2e/__external-repos__/simple-project-references/src/__tests__/multiply.ts
new file mode 100644
index 0000000000..2162500b7c
--- /dev/null
+++ b/e2e/__external-repos__/simple-project-references/src/__tests__/multiply.ts
@@ -0,0 +1,5 @@
+import { multiply } from '@/multiply'
+
+test('multiplies 2 * 2 to equal 4', () => {
+  expect(multiply(2, 2)).toBe(4)
+})
diff --git a/e2e/__external-repos__/simple-project-references/src/__tests__/subtract.ts b/e2e/__external-repos__/simple-project-references/src/__tests__/subtract.ts
new file mode 100644
index 0000000000..9455bd3067
--- /dev/null
+++ b/e2e/__external-repos__/simple-project-references/src/__tests__/subtract.ts
@@ -0,0 +1,5 @@
+import { subtract } from '@/subtract'
+
+test('subtracts 3 - 1 to equal 2', () => {
+  expect(subtract(3, 1)).toBe(2)
+})
diff --git a/e2e/__external-repos__/simple-project-references/src/math/divide.ts b/e2e/__external-repos__/simple-project-references/src/math/divide.ts
new file mode 100644
index 0000000000..7e72575935
--- /dev/null
+++ b/e2e/__external-repos__/simple-project-references/src/math/divide.ts
@@ -0,0 +1,3 @@
+import divide from 'lodash/divide'
+
+export { divide }
diff --git a/e2e/__external-repos__/simple-project-references/src/nested/src/multiply.ts b/e2e/__external-repos__/simple-project-references/src/nested/src/multiply.ts
new file mode 100644
index 0000000000..eabf98d6ab
--- /dev/null
+++ b/e2e/__external-repos__/simple-project-references/src/nested/src/multiply.ts
@@ -0,0 +1,3 @@
+import multiply from 'lodash/multiply'
+
+export { multiply }
diff --git a/e2e/__external-repos__/simple-project-references/src/nested/subtract.ts b/e2e/__external-repos__/simple-project-references/src/nested/subtract.ts
new file mode 100644
index 0000000000..f329a6fb22
--- /dev/null
+++ b/e2e/__external-repos__/simple-project-references/src/nested/subtract.ts
@@ -0,0 +1,3 @@
+import subtract from 'lodash/subtract'
+
+export { subtract }
diff --git a/e2e/__external-repos__/simple-project-references/tsconfig-base.json b/e2e/__external-repos__/simple-project-references/tsconfig-base.json
index 1a5cd690cb..5d975f771b 100644
--- a/e2e/__external-repos__/simple-project-references/tsconfig-base.json
+++ b/e2e/__external-repos__/simple-project-references/tsconfig-base.json
@@ -11,6 +11,19 @@
     "rootDir": "./src/",
     "types": [],
     "allowSyntheticDefaultImports": true,
-    "esModuleInterop": true
+    "esModuleInterop": true,
+    "baseUrl": ".",
+    "paths": {
+      "@/*": [
+        "src/nested/*",
+        "src/nested/src/*"
+      ],
+      "~": [
+        "src/math/divide.ts"
+      ],
+      "~/*": [
+        "src/math/*"
+      ]
+    }
   }
 }
diff --git a/src/config/paths-to-module-name-mapper.spec.ts b/src/config/paths-to-module-name-mapper.spec.ts
index 34b8210ad3..a88301355c 100644
--- a/src/config/paths-to-module-name-mapper.spec.ts
+++ b/src/config/paths-to-module-name-mapper.spec.ts
@@ -5,11 +5,12 @@ import { pathsToModuleNameMapper } from './paths-to-module-name-mapper'
 const tsconfigMap = {
   log: ['src/util/log'],
   server: ['src/server'],
+  client: ['src/client', 'src/client/index'],
   'util/*': ['src/util/*'],
   'api/*': ['src/api/*'],
   'test/*': ['test/*'],
   'mocks/*': ['test/mocks/*'],
-  'test/*/mock': ['test/mocks/*'],
+  'test/*/mock': ['test/mocks/*', 'test/__mocks__/*'],
 }
 
 describe('pathsToModuleNameMapper', () => {
@@ -17,11 +18,18 @@ describe('pathsToModuleNameMapper', () => {
     expect(pathsToModuleNameMapper(tsconfigMap)).toMatchInlineSnapshot(`
 Object {
   "^api/(.*)$": "src/api/$1",
+  "^client$": Array [
+    "src/client",
+    "src/client/index",
+  ],
   "^log$": "src/util/log",
   "^mocks/(.*)$": "test/mocks/$1",
   "^server$": "src/server",
   "^test/(.*)$": "test/$1",
-  "^test/(.*)/mock$": "test/mocks/$1",
+  "^test/(.*)/mock$": Array [
+    "test/mocks/$1",
+    "test/__mocks__/$1",
+  ],
   "^util/(.*)$": "src/util/$1",
 }
 `)
@@ -31,11 +39,18 @@ Object {
     expect(pathsToModuleNameMapper(tsconfigMap, { prefix: '<rootDir>/' })).toMatchInlineSnapshot(`
 Object {
   "^api/(.*)$": "<rootDir>/src/api/$1",
+  "^client$": Array [
+    "<rootDir>/src/client",
+    "<rootDir>/src/client/index",
+  ],
   "^log$": "<rootDir>/src/util/log",
   "^mocks/(.*)$": "<rootDir>/test/mocks/$1",
   "^server$": "<rootDir>/src/server",
   "^test/(.*)$": "<rootDir>/test/$1",
-  "^test/(.*)/mock$": "<rootDir>/test/mocks/$1",
+  "^test/(.*)/mock$": Array [
+    "<rootDir>/test/mocks/$1",
+    "<rootDir>/test/__mocks__/$1",
+  ],
   "^util/(.*)$": "<rootDir>/src/util/$1",
 }
 `)
@@ -48,20 +63,16 @@ Object {
       pathsToModuleNameMapper({
         kept: ['src/kept'],
         'no-target': [],
-        'too-many-target': ['one', 'two'],
         'too/*/many/*/stars': ['to/*/many/*/stars'],
       }),
     ).toMatchInlineSnapshot(`
 Object {
   "^kept$": "src/kept",
-  "^too\\\\-many\\\\-target$": "one",
 }
 `)
     expect(log.lines.warn).toMatchInlineSnapshot(`
 Array [
   "[level:40] Not mapping \\"no-target\\" because it has no target.
-",
-  "[level:40] Mapping only to first target of \\"too-many-target\\" because it has more than one (2).
 ",
   "[level:40] Not mapping \\"too/*/many/*/stars\\" because it has more than one star (\`*\`).
 ",
diff --git a/src/config/paths-to-module-name-mapper.ts b/src/config/paths-to-module-name-mapper.ts
index d41f3fc322..e06a03831f 100644
--- a/src/config/paths-to-module-name-mapper.ts
+++ b/src/config/paths-to-module-name-mapper.ts
@@ -26,24 +26,18 @@ export const pathsToModuleNameMapper = (
     if (toPaths.length === 0) {
       logger.warn(interpolate(Errors.NotMappingPathWithEmptyMap, { path: fromPath }))
       continue
-    } else if (toPaths.length > 1) {
-      logger.warn(
-        interpolate(Errors.MappingOnlyFirstTargetOfPath, {
-          path: fromPath,
-          count: toPaths.length,
-        }),
-      )
     }
-    const target = toPaths[0]
 
     // split with '*'
     const segments = fromPath.split(/\*/g)
     if (segments.length === 1) {
+      const paths = toPaths.map((target) => `${prefix}${target}`)
       pattern = `^${escapeRegex(fromPath)}$`
-      jestMap[pattern] = `${prefix}${target}`
+      jestMap[pattern] = paths.length === 1 ? paths[0] : paths
     } else if (segments.length === 2) {
+      const paths = toPaths.map((target) => `${prefix}${target.replace(/\*/g, '$1')}`)
       pattern = `^${escapeRegex(segments[0])}(.*)${escapeRegex(segments[1])}$`
-      jestMap[pattern] = `${prefix}${target.replace(/\*/g, '$1')}`
+      jestMap[pattern] = paths.length === 1 ? paths[0] : paths
     } else {
       logger.warn(interpolate(Errors.NotMappingMultiStarPath, { path: fromPath }))
       continue
diff --git a/src/util/messages.ts b/src/util/messages.ts
index fc3873179a..b62fe8b8f8 100644
--- a/src/util/messages.ts
+++ b/src/util/messages.ts
@@ -12,7 +12,6 @@ export const enum Errors {
   UnableToCompileTypeScript = '{{diagnostics}}',
   NotMappingMultiStarPath = 'Not mapping "{{path}}" because it has more than one star (`*`).',
   NotMappingPathWithEmptyMap = 'Not mapping "{{path}}" because it has no target.',
-  MappingOnlyFirstTargetOfPath = 'Mapping only to first target of "{{path}}" because it has more than one ({{count}}).',
   GotJsFileButAllowJsFalse = 'Got a `.js` file to compile while `allowJs` option is not set to `true` (file: {{path}}). To fix this:\n  - if you want TypeScript to process JS files, set `allowJs` to `true` in your TypeScript config (usually tsconfig.json)\n  - if you do not want TypeScript to process your `.js` files, in your Jest config change the `transform` key which value is `ts-jest` so that it does not match `.js` files anymore',
   GotUnknownFileTypeWithoutBabel = 'Got a unknown file type to compile (file: {{path}}). To fix this, in your Jest config change the `transform` key which value is `ts-jest` so that it does not match this kind of files anymore.',
   GotUnknownFileTypeWithBabel = 'Got a unknown file type to compile (file: {{path}}). To fix this, in your Jest config change the `transform` key which value is `ts-jest` so that it does not match this kind of files anymore. If you still want Babel to process it, add another entry to the `transform` option with value `babel-jest` which key matches this type of files.',