diff --git a/app/components/at_mention/at_mention.js b/app/components/at_mention/at_mention.js
index eca3a4c76..ae2a87e5b 100644
--- a/app/components/at_mention/at_mention.js
+++ b/app/components/at_mention/at_mention.js
@@ -1,13 +1,13 @@
 // Copyright (c) 2017-present Mattermost, Inc. All Rights Reserved.
 // See License.txt for license information.
 
-import React, {PureComponent} from 'react';
+import React from 'react';
 import PropTypes from 'prop-types';
 import {Text} from 'react-native';
 
 import CustomPropTypes from 'app/constants/custom_prop_types';
 
-export default class AtMention extends PureComponent {
+export default class AtMention extends React.PureComponent {
     static propTypes = {
         mentionName: PropTypes.string.isRequired,
         mentionStyle: CustomPropTypes.Style,
@@ -15,12 +15,28 @@ export default class AtMention extends PureComponent {
         usersByUsername: PropTypes.object.isRequired
     };
 
-    getUsernameFromMentionName = () => {
-        let mentionName = this.props.mentionName;
+    constructor(props) {
+        super(props);
+
+        this.state = {
+            username: this.getUsernameFromMentionName(props)
+        };
+    }
+
+    componentWillReceiveProps(nextProps) {
+        if (nextProps.mentionName !== this.props.mentionName || nextProps.usersByUsername !== this.props.usersByUsername) {
+            this.setState({
+                username: this.getUsernameFromMentionName(nextProps)
+            });
+        }
+    }
+
+    getUsernameFromMentionName(props) {
+        let mentionName = props.mentionName;
 
         while (mentionName.length > 0) {
-            if (this.props.usersByUsername[mentionName]) {
-                return this.props.usersByUsername[mentionName].username;
+            if (props.usersByUsername[mentionName]) {
+                return props.usersByUsername[mentionName].username;
             }
 
             // Repeatedly trim off trailing punctuation in case this is at the end of a sentence
@@ -31,12 +47,16 @@ export default class AtMention extends PureComponent {
             }
         }
 
-        // Just assume this is a mention for a user that we don't have
-        return mentionName;
+        return '';
     }
 
     render() {
-        const username = this.getUsernameFromMentionName();
+        const username = this.state.username;
+
+        if (!username) {
+            return <Text style={this.props.textStyle}>{'@' + this.props.mentionName}</Text>;
+        }
+
         const suffix = this.props.mentionName.substring(username.length);
 
         return (
diff --git a/app/components/channel_link/channel_link.js b/app/components/channel_link/channel_link.js
new file mode 100644
index 000000000..3a346601e
--- /dev/null
+++ b/app/components/channel_link/channel_link.js
@@ -0,0 +1,83 @@
+// Copyright (c) 2017-present Mattermost, Inc. All Rights Reserved.
+// See License.txt for license information.
+
+import React from 'react';
+import PropTypes from 'prop-types';
+import {Text} from 'react-native';
+
+import CustomPropTypes from 'app/constants/custom_prop_types';
+
+export default class ChannelLink extends React.PureComponent {
+    static propTypes = {
+        channelName: PropTypes.string.isRequired,
+        linkStyle: CustomPropTypes.Style,
+        textStyle: CustomPropTypes.Style,
+        channelsByName: PropTypes.object.isRequired,
+        actions: PropTypes.shape({
+            handleSelectChannel: PropTypes.func.isRequired,
+            setChannelDisplayName: PropTypes.func.isRequired
+        }).isRequired
+    };
+
+    constructor(props) {
+        super(props);
+
+        this.state = {
+            channel: this.getChannelFromChannelName(props)
+        };
+    }
+
+    componentWillReceiveProps(nextProps) {
+        if (nextProps.channelName !== this.props.channelName || nextProps.channelsByName !== this.props.channelsByName) {
+            this.setState({
+                channel: this.getChannelFromChannelName(nextProps)
+            });
+        }
+    }
+
+    getChannelFromChannelName(props) {
+        let channelName = props.channelName;
+
+        while (channelName.length > 0) {
+            if (props.channelsByName[channelName]) {
+                return props.channelsByName[channelName];
+            }
+
+            // Repeatedly trim off trailing punctuation in case this is at the end of a sentence
+            if ((/[_-]$/).test(channelName)) {
+                channelName = channelName.substring(0, channelName.length - 1);
+            } else {
+                break;
+            }
+        }
+
+        return null;
+    }
+
+    handlePress = () => {
+        this.props.actions.setChannelDisplayName(this.state.channel.display_name);
+        this.props.actions.handleSelectChannel(this.state.channel.id);
+    }
+
+    render() {
+        const channel = this.state.channel;
+
+        if (!channel) {
+            return <Text style={this.props.textStyle}>{'~' + this.props.channelName}</Text>;
+        }
+
+        const suffix = this.props.channelName.substring(channel.name.length);
+
+        return (
+            <Text style={this.props.textStyle}>
+                <Text
+                    style={this.props.linkStyle}
+                    onPress={this.handlePress}
+                >
+                    {channel.display_name}
+                </Text>
+                {suffix}
+            </Text>
+        );
+    }
+}
diff --git a/app/components/channel_link/index.js b/app/components/channel_link/index.js
new file mode 100644
index 000000000..9d6c9d053
--- /dev/null
+++ b/app/components/channel_link/index.js
@@ -0,0 +1,29 @@
+// Copyright (c) 2017-present Mattermost, Inc. All Rights Reserved.
+// See License.txt for license information.
+
+import {connect} from 'react-redux';
+import {bindActionCreators} from 'redux';
+
+import {getChannelsNameMapInCurrentTeam} from 'mattermost-redux/selectors/entities/channels';
+
+import {handleSelectChannel, setChannelDisplayName} from 'app/actions/views/channel';
+
+import ChannelLink from './channel_link';
+
+function mapStateToProps(state, ownProps) {
+    return {
+        channelsByName: getChannelsNameMapInCurrentTeam(state),
+        ...ownProps
+    };
+}
+
+function mapDispatchToProps(dispatch) {
+    return {
+        actions: bindActionCreators({
+            handleSelectChannel,
+            setChannelDisplayName
+        }, dispatch)
+    };
+}
+
+export default connect(mapStateToProps, mapDispatchToProps)(ChannelLink);
diff --git a/app/components/markdown/index.js b/app/components/markdown/index.js
index 82212b969..00cff842a 100644
--- a/app/components/markdown/index.js
+++ b/app/components/markdown/index.js
@@ -13,6 +13,7 @@ import {
 } from 'react-native';
 
 import AtMention from 'app/components/at_mention';
+import ChannelLink from 'app/components/channel_link';
 import Emoji from 'app/components/emoji';
 import CustomPropTypes from 'app/constants/custom_prop_types';
 import {concatStyles} from 'app/utils/theme';
@@ -77,6 +78,7 @@ export default class Markdown extends React.PureComponent {
                 link: MarkdownLink,
                 image: this.renderImage,
                 atMention: this.renderAtMention,
+                channelLink: this.renderChannelLink,
                 emoji: this.renderEmoji,
 
                 paragraph: this.renderParagraph,
@@ -134,6 +136,16 @@ export default class Markdown extends React.PureComponent {
         );
     }
 
+    renderChannelLink = ({context, channelName}) => {
+        return (
+            <ChannelLink
+                linkStyle={this.props.textStyles.link}
+                textStyle={this.computeTextStyle(this.props.baseTextStyle, context)}
+                channelName={channelName}
+            />
+        );
+    }
+
     renderEmoji = ({context, emojiName, literal}) => {
         let size;
         const headingType = context.find((type) => type.startsWith('heading'));
diff --git a/package.json b/package.json
index a8f64f4ce..6664c68f4 100644
--- a/package.json
+++ b/package.json
@@ -8,8 +8,8 @@
   "private": true,
   "dependencies": {
     "babel-polyfill": "6.23.0",
-    "commonmark": "hmhealey/commonmark.js#0e1c57aff4e0729e12ae1453fadc6c8bfd86cf96",
-    "commonmark-react-renderer": "hmhealey/commonmark-react-renderer#1cec47814455f2eb3858864334eb4300b5103523",
+    "commonmark": "hmhealey/commonmark.js#10bc18c0c8054088c0ec4737a8766c6b5794a323",
+    "commonmark-react-renderer": "hmhealey/commonmark-react-renderer#7be9f10cdb3408a64366a20e60975edff0b5c710",
     "deep-equal": "1.0.1",
     "intl": "1.2.5",
     "mattermost-redux": "mattermost/mattermost-redux#master",
diff --git a/yarn.lock b/yarn.lock
index 5811899e9..1fb0f70fb 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -1512,9 +1512,9 @@ commondir@^1.0.1:
   version "1.0.1"
   resolved "https://registry.yarnpkg.com/commondir/-/commondir-1.0.1.tgz#ddd800da0c66127393cca5950ea968a3aaf1253b"
 
-commonmark-react-renderer@hmhealey/commonmark-react-renderer#1cec47814455f2eb3858864334eb4300b5103523:
+commonmark-react-renderer@hmhealey/commonmark-react-renderer#7be9f10cdb3408a64366a20e60975edff0b5c710:
   version "4.3.2"
-  resolved "https://codeload.github.com/hmhealey/commonmark-react-renderer/tar.gz/1cec47814455f2eb3858864334eb4300b5103523"
+  resolved "https://codeload.github.com/hmhealey/commonmark-react-renderer/tar.gz/7be9f10cdb3408a64366a20e60975edff0b5c710"
   dependencies:
     in-publish "^2.0.0"
     lodash.assign "^4.2.0"
@@ -1522,9 +1522,9 @@ commonmark-react-renderer@hmhealey/commonmark-react-renderer#1cec47814455f2eb385
     pascalcase "^0.1.1"
     xss-filters "^1.2.6"
 
-commonmark@hmhealey/commonmark.js#0e1c57aff4e0729e12ae1453fadc6c8bfd86cf96:
+commonmark@hmhealey/commonmark.js#10bc18c0c8054088c0ec4737a8766c6b5794a323:
   version "0.27.0"
-  resolved "https://codeload.github.com/hmhealey/commonmark.js/tar.gz/0e1c57aff4e0729e12ae1453fadc6c8bfd86cf96"
+  resolved "https://codeload.github.com/hmhealey/commonmark.js/tar.gz/10bc18c0c8054088c0ec4737a8766c6b5794a323"
   dependencies:
     entities "~ 1.1.1"
     mdurl "~ 1.0.1"