diff --git a/CHANGELOG.md b/CHANGELOG.md
index ab50ac8a39..f426bc2467 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -48,6 +48,7 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 * disable blame and history popup keybinds for untracked files [[@kpbaks](https://github.com/kpbaks)] ([#2489](https://github.com/gitui-org/gitui/pull/2489))
 * overwrites committer on amend of unsigned commits [[@cruessler](https://github.com/cruessler)] ([#2784](https://github.com/gitui-org/gitui/issues/2784))
 * Updated project links to point to `gitui-org` instead of `extrawurst`  [[@vasleymus](https://github.com/vasleymus)] ([#2538](https://github.com/gitui-org/gitui/pull/2538))
+* when staging the last file in a directory, the first item after the directory is no longer skipped [[@Tillerino](https://github.com/Tillerino)] ([#2748](https://github.com/gitui-org/gitui/issues/2748))
 
 ## [0.27.0] - 2024-01-14
 
diff --git a/src/components/utils/statustree.rs b/src/components/utils/statustree.rs
index 47a1e00529..3df694cebd 100644
--- a/src/components/utils/statustree.rs
+++ b/src/components/utils/statustree.rs
@@ -57,11 +57,8 @@ impl StatusTree {
 		self.selection = last_selection.as_ref().map_or_else(
 			|| self.tree.items().first().map(|_| 0),
 			|last_selection| {
-				self.find_last_selection(
-					last_selection,
-					last_selection_index,
-				)
-				.or_else(|| self.tree.items().first().map(|_| 0))
+				self.find_last_selection(last_selection)
+					.or_else(|| self.tree.items().first().map(|_| 0))
 			},
 		);
 
@@ -196,19 +193,18 @@ impl StatusTree {
 	fn find_last_selection(
 		&self,
 		last_selection: &str,
-		last_index: usize,
 	) -> Option<usize> {
 		if self.is_empty() {
 			return None;
 		}
 
-		if let Ok(i) = self.tree.items().binary_search_by(|e| {
+		let res = self.tree.items().binary_search_by(|e| {
 			e.info.full_path.as_str().cmp(last_selection)
-		}) {
-			return Some(i);
+		});
+		match res {
+			Ok(i) => Some(i),
+			Err(i) => Some(cmp::min(i, self.tree.len() - 1)),
 		}
-
-		Some(cmp::min(last_index, self.tree.len() - 1))
 	}
 
 	fn selection_updown(
@@ -520,7 +516,7 @@ mod tests {
 		res.update(&string_vec_to_status(&["a", "b"])).unwrap();
 		res.selection = Some(1);
 
-		res.update(&string_vec_to_status(&["d", "c", "a"])).unwrap();
+		res.update(&string_vec_to_status(&["a", "c", "d"])).unwrap();
 		assert_eq!(res.selection, Some(1));
 	}
 
@@ -545,6 +541,33 @@ mod tests {
 		assert_eq!(res.selection, Some(0));
 	}
 
+	#[test]
+	fn test_next_when_dir_disappears() {
+		let mut tree = StatusTree::default();
+		tree.update(&string_vec_to_status(&["a/b", "c", "d"]))
+			.unwrap();
+		tree.selection = Some(1);
+		assert_eq!(
+			tree.selected_item().unwrap().info.full_path,
+			"a/b"
+		);
+
+		tree.update(&string_vec_to_status(&["c", "d"])).unwrap();
+		assert_eq!(tree.selected_item().unwrap().info.full_path, "c");
+	}
+
+	#[test]
+	fn test_next_when_last_dir_disappears() {
+		let mut tree = StatusTree::default();
+		tree.update(&string_vec_to_status(&["a", "b", "c"]))
+			.unwrap();
+		tree.selection = Some(2);
+		assert_eq!(tree.selected_item().unwrap().info.full_path, "c");
+
+		tree.update(&string_vec_to_status(&["a", "b"])).unwrap();
+		assert_eq!(tree.selected_item().unwrap().info.full_path, "b");
+	}
+
 	#[test]
 	fn test_keep_collapsed_states() {
 		let mut res = StatusTree::default();