diff --git a/changelog_unreleased/handlebars/20030.md b/changelog_unreleased/handlebars/20030.md
new file mode 100644
index 000000000..119a21469
--- /dev/null
+++ b/changelog_unreleased/handlebars/20030.md
@@ -0,0 +1,24 @@
+#### Fix invalid output for `<style>` containing mustaches (#20030 by @kovsu)
+
+<!-- prettier-ignore -->
+```hbs
+{{! Input }}
+<style>
+  a {
+    color: {{foo}}
+  }
+</style>
+
+{{! Prettier stable }}
+<style>
+  a {
+    color:{{foo}}}
+</style>
+
+{{! Prettier main }}
+<style>
+  a { color:
+  {{foo}}
+  }
+</style>
+```
diff --git a/src/language-handlebars/embed.js b/src/language-handlebars/embed.js
index 035cf942c..ff41c0beb 100644
--- a/src/language-handlebars/embed.js
+++ b/src/language-handlebars/embed.js
@@ -1,3 +1,5 @@
+import { isPlainTextStyleElement } from "./utilities.js";
+
 function embed(path /* , options*/) {
   const { node } = path;
 
@@ -7,12 +9,7 @@ function embed(path /* , options*/) {
 
   const { parent } = path;
 
-  if (!(
-    parent.type === "ElementNode" &&
-    parent.tag === "style" &&
-    parent.children.length === 1 &&
-    parent.children[0] === node
-  )) {
+  if (!(isPlainTextStyleElement(parent) && parent.children[0] === node)) {
     return;
   }
 
diff --git a/src/language-handlebars/massage-ast/index.js b/src/language-handlebars/massage-ast/index.js
index 76aa5f3f8..894e17dc9 100644
--- a/src/language-handlebars/massage-ast/index.js
+++ b/src/language-handlebars/massage-ast/index.js
@@ -1,4 +1,5 @@
 import htmlWhitespace from "../../utilities/html-whitespace.js";
+import { isPlainTextStyleElement } from "../utilities.js";
 
 function massageAstNode(original, cloned, parent) {
   // (Glimmer/HTML) ignore TextNode
@@ -9,11 +10,7 @@ function massageAstNode(original, cloned, parent) {
     }
 
     // CSS will be formatted
-    if (
-      parent.tag === "style" &&
-      parent.children.length === 1 &&
-      parent.children[0] === original
-    ) {
+    if (isPlainTextStyleElement(parent) && parent.children[0] === original) {
       cloned.chars = "";
     } else {
       cloned.chars = htmlWhitespace.split(trimmed).join(" ");
diff --git a/src/language-handlebars/printer-glimmer.js b/src/language-handlebars/printer-glimmer.js
index 01abc509f..bda72ee3c 100644
--- a/src/language-handlebars/printer-glimmer.js
+++ b/src/language-handlebars/printer-glimmer.js
@@ -20,6 +20,7 @@ import { locEnd, locStart } from "./loc.js";
 import { massageAstNode } from "./massage-ast/index.js";
 import {
   hasPrettierIgnore,
+  isPlainTextStyleElement,
   isVoidElement,
   isWhitespaceNode,
 } from "./utilities.js";
@@ -59,11 +60,11 @@ function print(path, options, print) {
       }
 
       const endingTag = ["</", node.tag, ">"];
-      const isStyle = node.tag === "style";
+      const isPlainStyle = isPlainTextStyleElement(node);
 
       if (
         node.children.length === 0 ||
-        ((!isWhitespaceSensitive || isStyle) &&
+        ((!isWhitespaceSensitive || isPlainStyle) &&
           node.children.every((node) => isWhitespaceNode(node)))
       ) {
         return [startingTag, endingTag];
@@ -71,7 +72,7 @@ function print(path, options, print) {
 
       const parts = path.map(print, "children");
 
-      if (isStyle || !isWhitespaceSensitive) {
+      if (isPlainStyle || !isWhitespaceSensitive) {
         return [startingTag, indent([softline, ...parts]), softline, endingTag];
       }
 
@@ -172,7 +173,7 @@ function print(path, options, print) {
           return replaceEndOfLine(text);
         }
 
-        if (parent.tag === "style") {
+        if (isPlainTextStyleElement(parent)) {
           text = text.replaceAll(/^\n+/g, "");
           text = htmlWhitespace.trimEnd(text);
           text = htmlWhitespace.dedentString(text);
diff --git a/src/language-handlebars/utilities.js b/src/language-handlebars/utilities.js
index 8bccd6421..fd9c6c796 100644
--- a/src/language-handlebars/utilities.js
+++ b/src/language-handlebars/utilities.js
@@ -34,6 +34,18 @@ function isWhitespaceNode(node) {
   return node.type === "TextNode" && !/\S/.test(node.chars);
 }
 
+function isPlainTextElement(node) {
+  return (
+    node.type === "ElementNode" &&
+    node.children.length === 1 &&
+    node.children[0].type === "TextNode"
+  );
+}
+
+function isPlainTextStyleElement(node) {
+  return isPlainTextElement(node) && node.tag === "style";
+}
+
 function isPrettierIgnoreNode(node) {
   return (
     node?.type === "MustacheCommentStatement" &&
@@ -53,4 +65,9 @@ function hasPrettierIgnore(path) {
   );
 }
 
-export { hasPrettierIgnore, isVoidElement, isWhitespaceNode };
+export {
+  hasPrettierIgnore,
+  isPlainTextStyleElement,
+  isVoidElement,
+  isWhitespaceNode,
+};
diff --git a/tests/format/handlebars/style-tag/__snapshots__/format.test.js.snap b/tests/format/handlebars/style-tag/__snapshots__/format.test.js.snap
index 117fc5dbc..c9ec2a8cb 100644
--- a/tests/format/handlebars/style-tag/__snapshots__/format.test.js.snap
+++ b/tests/format/handlebars/style-tag/__snapshots__/format.test.js.snap
@@ -13,10 +13,14 @@ parsers: ["glimmer"]
   </style>
 </div>
 
+<style></style>
+
 =====================================output=====================================
 <div>
   <style></style>
 </div>
+
+<style></style>
 ================================================================================
 `;
 
@@ -195,3 +199,38 @@ parsers: ["glimmer"]
 </style>
 ================================================================================
 `;
+
+exports[`with-mustache.hbs format 1`] = `
+====================================options=====================================
+parsers: ["glimmer"]
+                                                      printWidth: 80 (default) |
+=====================================input======================================
+<style>
+  a {
+    color: {{foo}}
+  }
+</style>
+
+<style>
+  .a { color: {{color}}; }
+  {{#if debug}}.b { color: red; }{{/if}}
+</style>
+
+<style>{{foo}}</style>
+
+=====================================output=====================================
+<style>
+  a { color:
+  {{foo}}
+  }
+</style>
+
+<style>
+  .a { color:
+  {{color}}; }
+  {{#if debug}}.b { color: red; }{{/if}}
+</style>
+
+<style>{{foo}}</style>
+================================================================================
+`;
diff --git a/tests/format/handlebars/style-tag/empty.hbs b/tests/format/handlebars/style-tag/empty.hbs
index 6647277e5..350609817 100644
--- a/tests/format/handlebars/style-tag/empty.hbs
+++ b/tests/format/handlebars/style-tag/empty.hbs
@@ -5,3 +5,5 @@
 
   </style>
 </div>
+
+<style></style>
diff --git a/tests/format/handlebars/style-tag/with-mustache.hbs b/tests/format/handlebars/style-tag/with-mustache.hbs
new file mode 100644
index 000000000..c8b9b8506
--- /dev/null
+++ b/tests/format/handlebars/style-tag/with-mustache.hbs
@@ -0,0 +1,12 @@
+<style>
+  a {
+    color: {{foo}}
+  }
+</style>
+
+<style>
+  .a { color: {{color}}; }
+  {{#if debug}}.b { color: red; }{{/if}}
+</style>
+
+<style>{{foo}}</style>