Bug and Documentation Clarification - Adding a class to mat-autocomplete applies the class to the mat-autocomplete-panel, but any defined styles are not applied. Would like to see an example in the documentation for matAutocomplete - classList.
Classes added to mat-autocomplete-panel should be styled appropriately.
Classes are applied to mat-autocomplete-panel from mat-autocomplete, but styles are not applied.
<mat-form-field floatLabel="never">
<mat-label>Filter Items</mat-label>
<input matInput [matAutocomplete]="auto" #filter>
<mat-autocomplete #auto="matAutocomplete" class="extended">
<mat-option *ngFor="let i of service.items$ | async" [value]="i">{{i}}</mat-option>
</mat-autocomplete>
</mat-form-field>
.mat-autocomplete-panel.extended {
max-height: 512px; // double default max-height
}

Styling the overlay panel for matAutocomplete should be clarified in the documentation in the event that the above means of doing so is wrong.
@angular: 6.0.1
@angular/material: 6.0.1
Closing as from looking at your stackblitz reproduction, it looks like the issue is that your components css styling does not actually apply to the autocomplete.
Since your component is using ViewEncapsulation.Emulated your css rule has an additional element attribute selector added to it for the component which causes it to not match the autocomplete panel. You should be able to either use ViewEncapsulation.None or you can use ::ng-deep until its removal from Angular (deprecation note)
@josephperrott, can the best practice usage of classList in MatAutocomplete be clarified then?
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Most helpful comment
@josephperrott, can the best practice usage of
classListin MatAutocomplete be clarified then?