diff --git a/src/cdk/stepper/stepper.ts b/src/cdk/stepper/stepper.ts
index 826f899f816..c8ad3c16140 100644
--- a/src/cdk/stepper/stepper.ts
+++ b/src/cdk/stepper/stepper.ts
@@ -31,6 +31,7 @@ import {
   TemplateRef,
   ViewChild,
   ViewEncapsulation,
+  InjectionToken,
 } from '@angular/core';
 import {DOCUMENT} from '@angular/common';
 import {AbstractControl} from '@angular/forms';
@@ -65,6 +66,37 @@ export class StepperSelectionEvent {
   previouslySelectedStep: CdkStep;
 }
 
+/** The state of each step. */
+export type StepState = 'number' | 'edit' | 'done' | 'error' | string;
+
+/** Enum to represent the different states of the steps. */
+export const STEP_STATE = {
+  NUMBER: 'number',
+  EDIT: 'edit',
+  DONE: 'done',
+  ERROR: 'error'
+};
+
+/** InjectionToken that can be used to specify the global stepper options. */
+export const MAT_STEPPER_GLOBAL_OPTIONS =
+  new InjectionToken<StepperOptions>('mat-stepper-global-options');
+
+/** Configurable options for stepper. */
+export interface StepperOptions {
+  /**
+   * Whether the stepper should display an error state or not.
+   * Default behavior is assumed to be false.
+   */
+  showError?: boolean;
+
+  /**
+   * Whether the stepper should display the default indicator type
+   * or not.
+   * Default behavior is assumed to be true.
+   */
+  displayDefaultIndicatorType?: boolean;
+}
+
 @Component({
   moduleId: module.id,
   selector: 'cdk-step',
@@ -74,6 +106,10 @@ export class StepperSelectionEvent {
   changeDetection: ChangeDetectionStrategy.OnPush,
 })
 export class CdkStep implements OnChanges {
+  private _stepperOptions: StepperOptions;
+  _showError: boolean;
+  _displayDefaultIndicatorType: boolean;
+
   /** Template for step label if it exists. */
   @ContentChild(CdkStepLabel) stepLabel: CdkStepLabel;
 
@@ -89,6 +125,9 @@ export class CdkStep implements OnChanges {
   /** Plain text label of the step. */
   @Input() label: string;
 
+  /** Error message to display when there's an error. */
+  @Input() errorMessage: string;
+
   /** Aria label for the tab. */
   @Input('aria-label') ariaLabel: string;
 
@@ -98,6 +137,9 @@ export class CdkStep implements OnChanges {
    */
   @Input('aria-labelledby') ariaLabelledby: string;
 
+  /** State of the step. */
+  @Input() state: StepState;
+
   /** Whether the user can return to this step once it has been marked as complted. */
   @Input()
   get editable(): boolean { return this._editable; }
@@ -117,18 +159,39 @@ export class CdkStep implements OnChanges {
   /** Whether step is marked as completed. */
   @Input()
   get completed(): boolean {
-    return this._customCompleted == null ? this._defaultCompleted() : this._customCompleted;
+    return this._customCompleted == null ? this._getDefaultCompleted() : this._customCompleted;
   }
   set completed(value: boolean) {
     this._customCompleted = coerceBooleanProperty(value);
   }
   private _customCompleted: boolean | null = null;
 
-  private _defaultCompleted() {
+  private _getDefaultCompleted() {
     return this.stepControl ? this.stepControl.valid && this.interacted : this.interacted;
   }
 
-  constructor(@Inject(forwardRef(() => CdkStepper)) private _stepper: CdkStepper) { }
+  /** Whether step has an error. */
+  @Input()
+  get hasError(): boolean {
+    return this._customError || this._getDefaultError();
+  }
+  set hasError(value: boolean) {
+    this._customError = coerceBooleanProperty(value);
+  }
+  private _customError: boolean | null = null;
+
+  private _getDefaultError() {
+    return this.stepControl && this.stepControl.invalid && this.interacted;
+  }
+
+  /** @breaking-change 8.0.0 remove the `?` after `stepperOptions` */
+  constructor(
+    @Inject(forwardRef(() => CdkStepper)) private _stepper: CdkStepper,
+    @Optional() @Inject(MAT_STEPPER_GLOBAL_OPTIONS) stepperOptions?: StepperOptions) {
+    this._stepperOptions = stepperOptions ? stepperOptions : {};
+    this._displayDefaultIndicatorType = this._stepperOptions.displayDefaultIndicatorType !== false;
+    this._showError = !!this._stepperOptions.showError;
+  }
 
   /** Selects this step component. */
   select(): void {
@@ -143,6 +206,10 @@ export class CdkStep implements OnChanges {
       this._customCompleted = false;
     }
 
+    if (this._customError != null) {
+      this._customError = false;
+    }
+
     if (this.stepControl) {
       this.stepControl.reset();
     }
@@ -301,15 +368,46 @@ export class CdkStepper implements AfterViewInit, OnDestroy {
   }
 
   /** Returns the type of icon to be displayed. */
-  _getIndicatorType(index: number): 'number' | 'edit' | 'done' {
+  _getIndicatorType(index: number, state: StepState = STEP_STATE.NUMBER): StepState {
     const step = this._steps.toArray()[index];
-    if (!step.completed || this._selectedIndex == index) {
-      return 'number';
+    const isCurrentStep = this._isCurrentStep(index);
+
+    return step._displayDefaultIndicatorType
+      ? this._getDefaultIndicatorLogic(step, isCurrentStep)
+      : this._getGuidelineLogic(step, isCurrentStep, state);
+  }
+
+  private _getDefaultIndicatorLogic(step: CdkStep, isCurrentStep: boolean): StepState {
+    if (step._showError && step.hasError && !isCurrentStep) {
+      return STEP_STATE.ERROR;
+    } else if (!step.completed || isCurrentStep) {
+      return STEP_STATE.NUMBER;
     } else {
-      return step.editable ? 'edit' : 'done';
+      return step.editable ? STEP_STATE.EDIT : STEP_STATE.DONE;
     }
   }
 
+  private _getGuidelineLogic(
+    step: CdkStep,
+    isCurrentStep: boolean,
+    state: StepState = STEP_STATE.NUMBER): StepState {
+    if (step._showError && step.hasError && !isCurrentStep) {
+      return STEP_STATE.ERROR;
+    } else if (step.completed && !isCurrentStep) {
+      return STEP_STATE.DONE;
+    } else if (step.completed && isCurrentStep) {
+      return state;
+    } else if (step.editable && isCurrentStep) {
+      return STEP_STATE.EDIT;
+    } else {
+      return state;
+    }
+  }
+
+  private _isCurrentStep(index: number) {
+    return this._selectedIndex === index;
+  }
+
   /** Returns the index of the currently-focused step header. */
   _getFocusIndex() {
     return this._keyManager ? this._keyManager.activeItemIndex : this._selectedIndex;
diff --git a/src/lib/stepper/_stepper-theme.scss b/src/lib/stepper/_stepper-theme.scss
index 47458fb8061..6f33d84c56c 100644
--- a/src/lib/stepper/_stepper-theme.scss
+++ b/src/lib/stepper/_stepper-theme.scss
@@ -6,6 +6,7 @@
   $foreground: map-get($theme, foreground);
   $background: map-get($theme, background);
   $primary: map-get($theme, primary);
+  $warn: map-get($theme, warn);
 
   .mat-step-header {
     &.cdk-keyboard-focused,
@@ -20,18 +21,29 @@
     }
 
     .mat-step-icon {
-      background-color: mat-color($primary);
-      color: mat-color($primary, default-contrast);
-    }
-
-    .mat-step-icon-not-touched {
       background-color: mat-color($foreground, disabled-text);
       color: mat-color($primary, default-contrast);
     }
 
+    .mat-step-icon-selected,
+    .mat-step-icon-state-done,
+    .mat-step-icon-state-edit {
+      background-color: mat-color($primary);
+      color: mat-color($primary, default-contrast);
+    }
+
+    .mat-step-icon-state-error {
+      background-color: transparent;
+      color: mat-color($warn);
+    }
+
     .mat-step-label.mat-step-label-active {
       color: mat-color($foreground, text);
     }
+
+    .mat-step-label.mat-step-label-error {
+      color: mat-color($warn);
+    }
   }
 
   .mat-stepper-horizontal, .mat-stepper-vertical {
@@ -59,6 +71,14 @@
     };
   }
 
+  .mat-step-sub-label-error {
+    font-weight: normal;
+  }
+
+  .mat-step-label-error {
+    font-size: mat-font-size($config, body-2);
+  }
+
   .mat-step-label-selected {
     font: {
       size: mat-font-size($config, body-2);
diff --git a/src/lib/stepper/step-header.html b/src/lib/stepper/step-header.html
index 67a8d381ae2..0d918a39470 100644
--- a/src/lib/stepper/step-header.html
+++ b/src/lib/stepper/step-header.html
@@ -1,8 +1,6 @@
 <div class="mat-step-header-ripple" mat-ripple [matRippleTrigger]="_getHostElement()"></div>
-<div [class.mat-step-icon]="state !== 'number' || selected"
-     [class.mat-step-icon-not-touched]="state == 'number' && !selected"
+<div class="mat-step-icon-state-{{state}} mat-step-icon" [class.mat-step-icon-selected]="selected"
      [ngSwitch]="state">
-
   <ng-container *ngSwitchCase="'number'" [ngSwitch]="!!(iconOverrides && iconOverrides.number)">
     <ng-container
       *ngSwitchCase="true"
@@ -26,16 +24,35 @@
       [ngTemplateOutletContext]="_getIconContext()"></ng-container>
     <mat-icon class="mat-step-icon-content" *ngSwitchDefault>done</mat-icon>
   </ng-container>
+
+  <ng-container *ngSwitchCase="'error'" [ngSwitch]="!!(iconOverrides && iconOverrides.error)">
+    <ng-container
+      *ngSwitchCase="true"
+      [ngTemplateOutlet]="iconOverrides.error"
+      [ngTemplateOutletContext]="_getIconContext()"></ng-container>
+    <mat-icon *ngSwitchDefault>warning</mat-icon>
+  </ng-container>
+
+  <!-- Custom state. -->
+  <ng-container *ngSwitchDefault [ngSwitch]="!!(iconOverrides && iconOverrides[state])">
+    <ng-container
+      *ngSwitchCase="true"
+      [ngTemplateOutlet]="iconOverrides[state]"
+      [ngTemplateOutletContext]="_getIconContext()"></ng-container>
+    <mat-icon *ngSwitchDefault>{{state}}</mat-icon>
+  </ng-container>
 </div>
 <div class="mat-step-label"
      [class.mat-step-label-active]="active"
-     [class.mat-step-label-selected]="selected">
+     [class.mat-step-label-selected]="selected"
+     [class.mat-step-label-error]="state == 'error'">
   <!-- If there is a label template, use it. -->
   <ng-container *ngIf="_templateLabel()" [ngTemplateOutlet]="_templateLabel()!.template">
   </ng-container>
-  <!-- It there is no label template, fall back to the text label. -->
+  <!-- If there is no label template, fall back to the text label. -->
   <div class="mat-step-text-label" *ngIf="_stringLabel()">{{label}}</div>
 
-  <div class="mat-step-optional" *ngIf="optional">{{_intl.optionalLabel}}</div>
+  <div class="mat-step-optional" *ngIf="optional && state != 'error'">{{_intl.optionalLabel}}</div>
+  <div class="mat-step-sub-label-error" *ngIf="state == 'error'">{{errorMessage}}</div>
 </div>
 
diff --git a/src/lib/stepper/step-header.scss b/src/lib/stepper/step-header.scss
index 7dc0481581b..228160732d6 100644
--- a/src/lib/stepper/step-header.scss
+++ b/src/lib/stepper/step-header.scss
@@ -5,7 +5,7 @@ $mat-stepper-label-min-width: 50px !default;
 $mat-stepper-side-gap: 24px !default;
 $mat-vertical-stepper-content-margin: 36px !default;
 $mat-stepper-line-gap: 8px !default;
-$mat-step-optional-font-size: 12px;
+$mat-step-sub-label-font-size: 12px;
 $mat-step-header-icon-size: 16px !default;
 
 .mat-step-header {
@@ -17,12 +17,12 @@ $mat-step-header-icon-size: 16px !default;
   -webkit-tap-highlight-color: transparent;
 }
 
-.mat-step-optional {
-  font-size: $mat-step-optional-font-size;
+.mat-step-optional,
+.mat-step-sub-label-error {
+  font-size: $mat-step-sub-label-font-size;
 }
 
-.mat-step-icon,
-.mat-step-icon-not-touched {
+.mat-step-icon {
   border-radius: 50%;
   height: $mat-stepper-label-header-height;
   width: $mat-stepper-label-header-height;
@@ -44,6 +44,12 @@ $mat-step-header-icon-size: 16px !default;
   width: $mat-step-header-icon-size;
 }
 
+.mat-step-icon-state-error .mat-icon {
+  font-size: $mat-step-header-icon-size + 8;
+  height: $mat-step-header-icon-size + 8;
+  width: $mat-step-header-icon-size + 8;
+}
+
 .mat-step-label {
   display: inline-block;
   white-space: nowrap;
diff --git a/src/lib/stepper/step-header.ts b/src/lib/stepper/step-header.ts
index e369d9cfc43..b571df051f7 100644
--- a/src/lib/stepper/step-header.ts
+++ b/src/lib/stepper/step-header.ts
@@ -21,7 +21,7 @@ import {Subscription} from 'rxjs';
 import {MatStepLabel} from './step-label';
 import {MatStepperIntl} from './stepper-intl';
 import {MatStepperIconContext} from './stepper-icon';
-
+import {StepState} from '@angular/cdk/stepper';
 
 @Component({
   moduleId: module.id,
@@ -39,11 +39,14 @@ export class MatStepHeader implements OnDestroy {
   private _intlSubscription: Subscription;
 
   /** State of the given step. */
-  @Input() state: string;
+  @Input() state: StepState;
 
   /** Label of the given step. */
   @Input() label: MatStepLabel | string;
 
+  /** Error message to display when there's an error. */
+  @Input() errorMessage: string;
+
   /** Overrides for the header icons, passed in via the stepper. */
   @Input() iconOverrides: {[key: string]: TemplateRef<MatStepperIconContext>};
 
diff --git a/src/lib/stepper/stepper-horizontal.html b/src/lib/stepper/stepper-horizontal.html
index 82947eebff7..8e2b442c0c3 100644
--- a/src/lib/stepper/stepper-horizontal.html
+++ b/src/lib/stepper/stepper-horizontal.html
@@ -12,11 +12,12 @@
                      [attr.aria-label]="step.ariaLabel || null"
                      [attr.aria-labelledby]="(!step.ariaLabel && step.ariaLabelledby) ? step.ariaLabelledby : null"
                      [index]="i"
-                     [state]="_getIndicatorType(i)"
+                     [state]="_getIndicatorType(i, step.state)"
                      [label]="step.stepLabel || step.label"
                      [selected]="selectedIndex === i"
                      [active]="step.completed || selectedIndex === i || !linear"
                      [optional]="step.optional"
+                     [errorMessage]="step.errorMessage"
                      [iconOverrides]="_iconOverrides">
     </mat-step-header>
     <div *ngIf="!isLast" class="mat-stepper-horizontal-line"></div>
diff --git a/src/lib/stepper/stepper-icon.ts b/src/lib/stepper/stepper-icon.ts
index c8cc8556072..b44c303b9c0 100644
--- a/src/lib/stepper/stepper-icon.ts
+++ b/src/lib/stepper/stepper-icon.ts
@@ -7,6 +7,7 @@
  */
 
 import {Directive, Input, TemplateRef} from '@angular/core';
+import {StepState} from '@angular/cdk/stepper';
 
 /** Template context available to an attached `matStepperIcon`. */
 export interface MatStepperIconContext {
@@ -26,7 +27,7 @@ export interface MatStepperIconContext {
 })
 export class MatStepperIcon {
   /** Name of the icon to be overridden. */
-  @Input('matStepperIcon') name: 'edit' | 'done' | 'number';
+  @Input('matStepperIcon') name: StepState;
 
   constructor(public templateRef: TemplateRef<MatStepperIconContext>) {}
 }
diff --git a/src/lib/stepper/stepper-vertical.html b/src/lib/stepper/stepper-vertical.html
index 5ff402fa1e0..3ad0627b04e 100644
--- a/src/lib/stepper/stepper-vertical.html
+++ b/src/lib/stepper/stepper-vertical.html
@@ -11,11 +11,12 @@
                    [attr.aria-label]="step.ariaLabel || null"
                    [attr.aria-labelledby]="(!step.ariaLabel && step.ariaLabelledby) ? step.ariaLabelledby : null"
                    [index]="i"
-                   [state]="_getIndicatorType(i)"
+                   [state]="_getIndicatorType(i, step.state)"
                    [label]="step.stepLabel || step.label"
                    [selected]="selectedIndex === i"
                    [active]="step.completed || selectedIndex === i || !linear"
                    [optional]="step.optional"
+                   [errorMessage]="step.errorMessage"
                    [iconOverrides]="_iconOverrides">
   </mat-step-header>
 
diff --git a/src/lib/stepper/stepper.md b/src/lib/stepper/stepper.md
index 5ffda6069ae..b392351a46c 100644
--- a/src/lib/stepper/stepper.md
+++ b/src/lib/stepper/stepper.md
@@ -156,6 +156,71 @@ by placing a `matStepperIcon` for each of the icons that you want to override. T
 
 Note that you aren't limited to using the `mat-icon` component when providing custom icons.
 
+#### Step States
+You can set the state of a step to whatever you want. The given state by default maps to an icon. However, it can be overridden the same way as mentioned above.
+
+```html
+<mat-horizontal-stepper>
+  <mat-step label="Step 1" state="phone">
+    <p>Put down your phones.</p>
+    <div>
+      <button mat-button matStepperNext>Next</button>
+    </div>
+  </mat-step>
+  <mat-step label="Step 2" state="chat">
+    <p>Socialize with each other.</p>
+    <div>
+      <button mat-button matStepperPrevious>Back</button>
+      <button mat-button matStepperNext>Next</button>
+    </div>
+  </mat-step>
+  <mat-step label="Step 3">
+    <p>You're welcome.</p>
+  </mat-step>
+
+  <!-- Icon overrides. -->
+  <ng-template matStepperIcon="phone">
+    <mat-icon>call_end</mat-icon>
+  </ng-template>
+  <ng-template matStepperIcon="chat">
+    <mat-icon>forum</mat-icon>
+  </ng-template>
+</mat-horizontal-stepper>
+```
+
+In order to use the custom step states, you must add the `displayDefaultIndicatorType` option to the global default stepper options which can be specified by providing a value for
+`MAT_STEPPER_GLOBAL_OPTIONS` in your application's root module.
+
+```ts
+@NgModule({
+  providers: [
+    {
+      provide: MAT_STEPPER_GLOBAL_OPTIONS,
+      useValue: { displayDefaultIndicatorType: false }
+    }
+  ]
+})
+```
+
+<!-- example(stepper-states) -->
+
+### Error State
+
+The stepper can now show error states by simply providing the `showError` option to the `MAT_STEPPER_GLOBAL_OPTIONS` in your application's root module as mentioned above.
+
+```ts
+@NgModule({
+  providers: [
+    {
+      provide: MAT_STEPPER_GLOBAL_OPTIONS,
+      useValue: { showError: true }
+    }
+  ]
+})
+```
+
+<!-- example(stepper-errors) -->
+
 ### Keyboard interaction
 - <kbd>LEFT_ARROW</kbd>: Focuses the previous step header
 - <kbd>RIGHT_ARROW</kbd>: Focuses the next step header
diff --git a/src/lib/stepper/stepper.scss b/src/lib/stepper/stepper.scss
index dd3268395e5..012a25fee59 100644
--- a/src/lib/stepper/stepper.scss
+++ b/src/lib/stepper/stepper.scss
@@ -34,8 +34,7 @@ $mat-stepper-line-gap: 8px !default;
   align-items: center;
   padding: 0 $mat-stepper-side-gap;
 
-  .mat-step-icon,
-  .mat-step-icon-not-touched {
+  .mat-step-icon {
     margin-right: $mat-stepper-line-gap;
     flex: none;
 
@@ -52,8 +51,7 @@ $mat-stepper-line-gap: 8px !default;
   padding: $mat-stepper-side-gap;
   max-height: $mat-stepper-label-header-height;
 
-  .mat-step-icon,
-  .mat-step-icon-not-touched {
+  .mat-step-icon {
     margin-right: $mat-vertical-stepper-content-margin - $mat-stepper-side-gap;
 
     [dir='rtl'] & {
diff --git a/src/lib/stepper/stepper.spec.ts b/src/lib/stepper/stepper.spec.ts
index 05cfe31be3a..d7fae0567f0 100644
--- a/src/lib/stepper/stepper.spec.ts
+++ b/src/lib/stepper/stepper.spec.ts
@@ -9,10 +9,10 @@ import {
   SPACE,
   UP_ARROW,
 } from '@angular/cdk/keycodes';
-import {StepperOrientation} from '@angular/cdk/stepper';
+import {StepperOrientation, MAT_STEPPER_GLOBAL_OPTIONS, STEP_STATE} from '@angular/cdk/stepper';
 import {dispatchKeyboardEvent} from '@angular/cdk/testing';
-import {Component, DebugElement, EventEmitter, OnInit} from '@angular/core';
-import {async, ComponentFixture, fakeAsync, flush, inject, TestBed} from '@angular/core/testing';
+import {Component, DebugElement, EventEmitter, OnInit, Type, Provider} from '@angular/core';
+import {ComponentFixture, fakeAsync, flush, inject, TestBed} from '@angular/core/testing';
 import {
   AbstractControl,
   AsyncValidatorFn,
@@ -20,7 +20,8 @@ import {
   FormGroup,
   ReactiveFormsModule,
   ValidationErrors,
-  Validators
+  Validators,
+  FormBuilder
 } from '@angular/forms';
 import {By} from '@angular/platform-browser';
 import {NoopAnimationsModule} from '@angular/platform-browser/animations';
@@ -30,45 +31,26 @@ import {MatStepperModule} from './index';
 import {MatHorizontalStepper, MatStep, MatStepper, MatVerticalStepper} from './stepper';
 import {MatStepperNext, MatStepperPrevious} from './stepper-button';
 import {MatStepperIntl} from './stepper-intl';
+import {MatFormFieldModule} from '@angular/material/form-field';
+import {MatInputModule} from '../input/input-module';
 
 
 const VALID_REGEX = /valid/;
+let dir: {value: Direction, change: EventEmitter<Direction>};
 
 describe('MatStepper', () => {
-  let dir: {value: Direction, change: EventEmitter<Direction>};
-
-  beforeEach(async(() => {
+  beforeEach(() => {
     dir = {
       value: 'ltr',
       change: new EventEmitter()
     };
-
-    TestBed.configureTestingModule({
-      imports: [MatStepperModule, NoopAnimationsModule, ReactiveFormsModule],
-      declarations: [
-        SimpleMatVerticalStepperApp,
-        LinearMatVerticalStepperApp,
-        IconOverridesStepper,
-        SimplePreselectedMatHorizontalStepperApp,
-        SimpleStepperWithoutStepControl,
-        SimpleStepperWithStepControlAndCompletedBinding,
-        SimpleMatHorizontalStepperApp,
-        LinearStepperWithValidOptionalStep,
-        StepperWithAriaInputs,
-      ],
-      providers: [
-        {provide: Directionality, useFactory: () => dir}
-      ]
-    });
-
-    TestBed.compileComponents();
-  }));
+  });
 
   describe('basic stepper', () => {
     let fixture: ComponentFixture<SimpleMatVerticalStepperApp>;
 
     beforeEach(() => {
-      fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
+      fixture = createComponent(SimpleMatVerticalStepperApp);
       fixture.detectChanges();
     });
 
@@ -316,69 +298,27 @@ describe('MatStepper', () => {
       expect(stepperComponent._getIndicatorType(0)).toBe('done');
     });
 
-    it('should re-render when the i18n labels change', inject([MatStepperIntl],
-      (intl: MatStepperIntl) => {
-        fixture.destroy();
+    it('should emit an event when the enter animation is done', fakeAsync(() => {
+      let stepper = fixture.debugElement.query(By.directive(MatStepper)).componentInstance;
+      let selectionChangeSpy = jasmine.createSpy('selectionChange spy');
+      let animationDoneSpy = jasmine.createSpy('animationDone spy');
+      let selectionChangeSubscription = stepper.selectionChange.subscribe(selectionChangeSpy);
+      let animationDoneSubscription = stepper.animationDone.subscribe(animationDoneSpy);
 
-        const i18nFixture = TestBed.createComponent(SimpleMatHorizontalStepperApp);
-        i18nFixture.detectChanges();
+      stepper.selectedIndex = 1;
+      fixture.detectChanges();
 
-        const header =
-            i18nFixture.debugElement.queryAll(By.css('mat-step-header'))[2].nativeElement;
-        const optionalLabel = header.querySelector('.mat-step-optional');
+      expect(selectionChangeSpy).toHaveBeenCalledTimes(1);
+      expect(animationDoneSpy).not.toHaveBeenCalled();
 
-        expect(optionalLabel).toBeTruthy();
-        expect(optionalLabel.textContent).toBe('Optional');
+      flush();
 
-        intl.optionalLabel = 'Valgfri';
-        intl.changes.next();
-        i18nFixture.detectChanges();
+      expect(selectionChangeSpy).toHaveBeenCalledTimes(1);
+      expect(animationDoneSpy).toHaveBeenCalledTimes(1);
 
-        expect(optionalLabel.textContent).toBe('Valgfri');
-      }));
-
-      it('should emit an event when the enter animation is done', fakeAsync(() => {
-        let stepper = fixture.debugElement.query(By.directive(MatStepper)).componentInstance;
-        let selectionChangeSpy = jasmine.createSpy('selectionChange spy');
-        let animationDoneSpy = jasmine.createSpy('animationDone spy');
-        let selectionChangeSubscription = stepper.selectionChange.subscribe(selectionChangeSpy);
-        let animationDoneSubscription = stepper.animationDone.subscribe(animationDoneSpy);
-
-        stepper.selectedIndex = 1;
-        fixture.detectChanges();
-
-        expect(selectionChangeSpy).toHaveBeenCalledTimes(1);
-        expect(animationDoneSpy).not.toHaveBeenCalled();
-
-        flush();
-
-        expect(selectionChangeSpy).toHaveBeenCalledTimes(1);
-        expect(animationDoneSpy).toHaveBeenCalledTimes(1);
-
-        selectionChangeSubscription.unsubscribe();
-        animationDoneSubscription.unsubscribe();
-      }));
-
-    it('should not throw when attempting to get the selected step too early', () => {
-      fixture.destroy();
-      fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
-
-      const stepperComponent: MatVerticalStepper = fixture.debugElement
-          .query(By.css('mat-vertical-stepper')).componentInstance;
-
-      expect(() => stepperComponent.selected).not.toThrow();
-    });
-
-    it('should not throw when attempting to set the selected step too early', () => {
-      fixture.destroy();
-      fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
-
-      const stepperComponent: MatVerticalStepper = fixture.debugElement
-          .query(By.css('mat-vertical-stepper')).componentInstance;
-
-      expect(() => stepperComponent.selected = null!).not.toThrow();
-      expect(stepperComponent.selectedIndex).toBe(-1);
-    });
+      selectionChangeSubscription.unsubscribe();
+      animationDoneSubscription.unsubscribe();
+    }));
 
     it('should set the correct aria-posinset and aria-setsize', () => {
       const headers =
@@ -405,14 +345,59 @@ describe('MatStepper', () => {
 
       expect(stepperComponent.selectedIndex).toBe(1);
     });
+  });
 
+  describe('basic stepper when attempting to set the selected step too early', () => {
+    it('should not throw', () => {
+      const fixture = createComponent(SimpleMatVerticalStepperApp);
+      const stepperComponent: MatVerticalStepper = fixture.debugElement
+          .query(By.css('mat-vertical-stepper')).componentInstance;
+
+      expect(() => stepperComponent.selected).not.toThrow();
+    });
+  });
+
+  describe('basic stepper when attempting to set the selected step too early', () => {
+    it('should not throw', () => {
+      const fixture = createComponent(SimpleMatVerticalStepperApp);
+      const stepperComponent: MatVerticalStepper = fixture.debugElement
+          .query(By.css('mat-vertical-stepper')).componentInstance;
+
+      expect(() => stepperComponent.selected = null!).not.toThrow();
+      expect(stepperComponent.selectedIndex).toBe(-1);
+    });
+  });
+
+  describe('basic stepper with i18n label change', () => {
+    let i18nFixture;
+
+    beforeEach(() => {
+      i18nFixture = createComponent(SimpleMatHorizontalStepperApp);
+      i18nFixture.detectChanges();
+    });
+
+    it('should re-render when the i18n labels change', inject([MatStepperIntl],
+      (intl: MatStepperIntl) => {
+        const header =
+            i18nFixture.debugElement.queryAll(By.css('mat-step-header'))[2].nativeElement;
+        const optionalLabel = header.querySelector('.mat-step-optional');
+
+        expect(optionalLabel).toBeTruthy();
+        expect(optionalLabel.textContent).toBe('Optional');
+
+        intl.optionalLabel = 'Valgfri';
+        intl.changes.next();
+        i18nFixture.detectChanges();
+
+        expect(optionalLabel.textContent).toBe('Valgfri');
+    }));
   });
 
   describe('icon overrides', () => {
     let fixture: ComponentFixture<IconOverridesStepper>;
 
     beforeEach(() => {
-      fixture = TestBed.createComponent(IconOverridesStepper);
+      fixture = createComponent(IconOverridesStepper);
       fixture.detectChanges();
     });
 
@@ -455,7 +440,7 @@ describe('MatStepper', () => {
 
     beforeEach(() => {
       dir.value = 'rtl';
-      fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
+      fixture = createComponent(SimpleMatVerticalStepperApp);
       fixture.detectChanges();
     });
 
@@ -488,7 +473,7 @@ describe('MatStepper', () => {
     let stepperComponent: MatVerticalStepper;
 
     beforeEach(() => {
-      fixture = TestBed.createComponent(LinearMatVerticalStepperApp);
+      fixture = createComponent(LinearMatVerticalStepperApp);
       fixture.detectChanges();
 
       testComponent = fixture.componentInstance;
@@ -700,66 +685,71 @@ describe('MatStepper', () => {
       expect(steps[2].completed).toBe(true,
           'Expected third step to be considered complete when doing a run after a reset.');
     });
+  });
 
-    it('should not throw when there is a pre-defined selectedIndex', () => {
-      fixture.destroy();
-
-      let preselectedFixture = TestBed.createComponent(SimplePreselectedMatHorizontalStepperApp);
-      expect(() => preselectedFixture.detectChanges()).not.toThrow();
+  describe('linear stepper with a pre-defined selectedIndex', () => {
+    let preselectedFixture;
+    beforeEach(() => {
+      preselectedFixture = createComponent(SimplePreselectedMatHorizontalStepperApp);
     });
 
-    it('should not move to the next step if the current one is not completed ' +
-      'and there is no `stepControl`', () => {
-        fixture.destroy();
+    it('should not throw', () => {
+      expect(() => preselectedFixture.detectChanges()).not.toThrow();
+    });
+  });
 
-        const noStepControlFixture = TestBed.createComponent(SimpleStepperWithoutStepControl);
+  describe('linear stepper with no `stepControl`', () => {
+    let noStepControlFixture;
+    beforeEach(() => {
+      noStepControlFixture = createComponent(SimpleStepperWithoutStepControl);
+      noStepControlFixture.detectChanges();
+    });
+    it('should not move to the next step if the current one is not completed ', () => {
+      const stepper: MatHorizontalStepper = noStepControlFixture.debugElement
+          .query(By.directive(MatHorizontalStepper)).componentInstance;
 
-        noStepControlFixture.detectChanges();
+      const headers = noStepControlFixture.debugElement
+          .queryAll(By.css('.mat-horizontal-stepper-header'));
 
-        const stepper: MatHorizontalStepper = noStepControlFixture.debugElement
+      expect(stepper.selectedIndex).toBe(0);
+
+      headers[1].nativeElement.click();
+      noStepControlFixture.detectChanges();
+
+      expect(stepper.selectedIndex).toBe(0);
+    });
+  });
+
+  describe('linear stepper with `stepControl`', () => {
+    let controlAndBindingFixture;
+    beforeEach(() => {
+      controlAndBindingFixture =
+      createComponent(SimpleStepperWithStepControlAndCompletedBinding);
+      controlAndBindingFixture.detectChanges();
+    });
+
+    it('should have the `stepControl` take precedence when `completed` is set', () => {
+        expect(controlAndBindingFixture.componentInstance.steps[0].control.valid).toBe(true);
+        expect(controlAndBindingFixture.componentInstance.steps[0].completed).toBe(false);
+
+        const stepper: MatHorizontalStepper = controlAndBindingFixture.debugElement
             .query(By.directive(MatHorizontalStepper)).componentInstance;
 
-        const headers = noStepControlFixture.debugElement
+        const headers = controlAndBindingFixture.debugElement
             .queryAll(By.css('.mat-horizontal-stepper-header'));
 
         expect(stepper.selectedIndex).toBe(0);
 
         headers[1].nativeElement.click();
-        noStepControlFixture.detectChanges();
+        controlAndBindingFixture.detectChanges();
 
-        expect(stepper.selectedIndex).toBe(0);
+        expect(stepper.selectedIndex).toBe(1);
       });
-
-      it('should have the `stepControl` take precedence when both `completed` and ' +
-        '`stepControl` are set', () => {
-          fixture.destroy();
-
-          const controlAndBindingFixture =
-              TestBed.createComponent(SimpleStepperWithStepControlAndCompletedBinding);
-
-          controlAndBindingFixture.detectChanges();
-
-          expect(controlAndBindingFixture.componentInstance.steps[0].control.valid).toBe(true);
-          expect(controlAndBindingFixture.componentInstance.steps[0].completed).toBe(false);
-
-          const stepper: MatHorizontalStepper = controlAndBindingFixture.debugElement
-              .query(By.directive(MatHorizontalStepper)).componentInstance;
-
-          const headers = controlAndBindingFixture.debugElement
-              .queryAll(By.css('.mat-horizontal-stepper-header'));
-
-          expect(stepper.selectedIndex).toBe(0);
-
-          headers[1].nativeElement.click();
-          controlAndBindingFixture.detectChanges();
-
-          expect(stepper.selectedIndex).toBe(1);
-        });
   });
 
   describe('vertical stepper', () => {
     it('should set the aria-orientation to "vertical"', () => {
-      let fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
+      let fixture = createComponent(SimpleMatVerticalStepperApp);
       fixture.detectChanges();
 
       let stepperEl = fixture.debugElement.query(By.css('mat-vertical-stepper')).nativeElement;
@@ -767,7 +757,7 @@ describe('MatStepper', () => {
     });
 
     it('should support using the left/right arrows to move focus', () => {
-      let fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
+      let fixture = createComponent(SimpleMatVerticalStepperApp);
       fixture.detectChanges();
 
       let stepHeaders = fixture.debugElement.queryAll(By.css('.mat-vertical-stepper-header'));
@@ -775,7 +765,7 @@ describe('MatStepper', () => {
     });
 
     it('should support using the up/down arrows to move focus', () => {
-      let fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
+      let fixture = createComponent(SimpleMatVerticalStepperApp);
       fixture.detectChanges();
 
       let stepHeaders = fixture.debugElement.queryAll(By.css('.mat-vertical-stepper-header'));
@@ -784,7 +774,7 @@ describe('MatStepper', () => {
 
     it('should reverse arrow key focus in RTL mode', () => {
       dir.value = 'rtl';
-      let fixture = TestBed.createComponent(SimpleMatVerticalStepperApp);
+      let fixture = createComponent(SimpleMatVerticalStepperApp);
       fixture.detectChanges();
 
       let stepHeaders = fixture.debugElement.queryAll(By.css('.mat-vertical-stepper-header'));
@@ -794,7 +784,7 @@ describe('MatStepper', () => {
 
   describe('horizontal stepper', () => {
     it('should set the aria-orientation to "horizontal"', () => {
-      let fixture = TestBed.createComponent(SimpleMatHorizontalStepperApp);
+      let fixture = createComponent(SimpleMatHorizontalStepperApp);
       fixture.detectChanges();
 
       let stepperEl = fixture.debugElement.query(By.css('mat-horizontal-stepper')).nativeElement;
@@ -802,7 +792,7 @@ describe('MatStepper', () => {
     });
 
     it('should support using the left/right arrows to move focus', () => {
-      let fixture = TestBed.createComponent(SimpleMatHorizontalStepperApp);
+      let fixture = createComponent(SimpleMatHorizontalStepperApp);
       fixture.detectChanges();
 
       let stepHeaders = fixture.debugElement.queryAll(By.css('.mat-horizontal-stepper-header'));
@@ -811,7 +801,7 @@ describe('MatStepper', () => {
 
     it('should reverse arrow key focus in RTL mode', () => {
       dir.value = 'rtl';
-      let fixture = TestBed.createComponent(SimpleMatHorizontalStepperApp);
+      let fixture = createComponent(SimpleMatHorizontalStepperApp);
       fixture.detectChanges();
 
       let stepHeaders = fixture.debugElement.queryAll(By.css('.mat-horizontal-stepper-header'));
@@ -819,7 +809,7 @@ describe('MatStepper', () => {
     });
 
     it('should reverse arrow key focus when switching into RTL after init', () => {
-      let fixture = TestBed.createComponent(SimpleMatHorizontalStepperApp);
+      let fixture = createComponent(SimpleMatHorizontalStepperApp);
       fixture.detectChanges();
 
       let stepHeaders = fixture.debugElement.queryAll(By.css('.mat-horizontal-stepper-header'));
@@ -833,13 +823,13 @@ describe('MatStepper', () => {
     });
   });
 
-  describe('valid step in linear stepper', () => {
+  describe('linear stepper with valid step', () => {
     let fixture: ComponentFixture<LinearStepperWithValidOptionalStep>;
     let testComponent: LinearStepperWithValidOptionalStep;
     let stepper: MatStepper;
 
     beforeEach(() => {
-      fixture = TestBed.createComponent(LinearStepperWithValidOptionalStep);
+      fixture = createComponent(LinearStepperWithValidOptionalStep);
       fixture.detectChanges();
 
       testComponent = fixture.componentInstance;
@@ -875,7 +865,7 @@ describe('MatStepper', () => {
     let stepHeader: HTMLElement;
 
     beforeEach(() => {
-      fixture = TestBed.createComponent(StepperWithAriaInputs);
+      fixture = createComponent(StepperWithAriaInputs);
       fixture.detectChanges();
       stepHeader = fixture.nativeElement.querySelector('.mat-step-header');
     });
@@ -909,6 +899,76 @@ describe('MatStepper', () => {
     });
 
   });
+
+  describe('stepper with error state', () => {
+    let fixture: ComponentFixture<MatHorizontalStepperWithErrorsApp>;
+    let stepper: MatStepper;
+
+    beforeEach(() => {
+      fixture = createComponent(
+        MatHorizontalStepperWithErrorsApp,
+        [{
+          provide: MAT_STEPPER_GLOBAL_OPTIONS,
+          useValue: {showError: true}
+        }],
+        [MatFormFieldModule, MatInputModule]
+      );
+      fixture.detectChanges();
+      stepper = fixture.debugElement
+          .query(By.css('mat-horizontal-stepper')).componentInstance;
+    });
+
+    it('should show error state', () => {
+      let nextButtonNativeEl = fixture.debugElement
+          .queryAll(By.directive(MatStepperNext))[0].nativeElement;
+
+      stepper.selectedIndex = 1;
+      stepper._steps.first.hasError = true;
+      nextButtonNativeEl.click();
+      fixture.detectChanges();
+
+      expect(stepper._getIndicatorType(0)).toBe(STEP_STATE.ERROR);
+    });
+  });
+
+  describe('stepper using Material UI Guideline logic', () => {
+    let fixture: ComponentFixture<MatHorizontalStepperWithErrorsApp>;
+    let stepper: MatStepper;
+
+    beforeEach(() => {
+      fixture = createComponent(
+        MatHorizontalStepperWithErrorsApp,
+        [{
+          provide: MAT_STEPPER_GLOBAL_OPTIONS,
+          useValue: {displayDefaultIndicatorType: false}
+        }],
+        [MatFormFieldModule, MatInputModule]
+      );
+      fixture.detectChanges();
+      stepper = fixture.debugElement
+          .query(By.css('mat-horizontal-stepper')).componentInstance;
+    });
+
+    it('should show done state when step is completed and its not the current step', () => {
+      let nextButtonNativeEl = fixture.debugElement
+          .queryAll(By.directive(MatStepperNext))[0].nativeElement;
+
+      stepper.selectedIndex = 1;
+      stepper._steps.first.completed = true;
+      nextButtonNativeEl.click();
+      fixture.detectChanges();
+
+      expect(stepper._getIndicatorType(0)).toBe(STEP_STATE.DONE);
+    });
+
+    it('should show edit state when step is editable and its the current step', () => {
+      stepper.selectedIndex = 1;
+      stepper._steps.toArray()[1].editable = true;
+      fixture.detectChanges();
+
+      expect(stepper._getIndicatorType(1)).toBe(STEP_STATE.EDIT);
+    });
+  });
 });
 
 /** Asserts that keyboard interaction works correctly. */
@@ -1012,6 +1072,67 @@ function asyncValidator(minLength: number, validationTrigger: Subject<void>): As
   };
 }
 
+function createComponent<T>(component: Type<T>,
+  providers: Provider[] = [],
+  imports: any[] = []): ComponentFixture<T> {
+  TestBed.configureTestingModule({
+    imports: [
+      MatStepperModule,
+      NoopAnimationsModule,
+      ReactiveFormsModule,
+      ...imports
+    ],
+    declarations: [component],
+    providers: [
+      {provide: Directionality, useFactory: () => dir},
+      ...providers
+    ],
+  }).compileComponents();
+
+  return TestBed.createComponent<T>(component);
+}
+
+@Component({
+  template: `
+  <form [formGroup]="formGroup">
+    <mat-horizontal-stepper>
+      <mat-step errorMessage="This field is required" [stepControl]="formArray?.get([0])">
+        <ng-template matStepLabel>Step 1</ng-template>
+        <mat-form-field>
+          <mat-label>First name</mat-label>
+          <input matInput formControlName="firstNameCtrl" required>
+          <mat-error>This field is required</mat-error>
+        </mat-form-field>
+        <div>
+          <button mat-button matStepperPrevious>Back</button>
+          <button mat-button matStepperNext>Next</button>
+        </div>
+      </mat-step>
+      <mat-step>
+        <ng-template matStepLabel>Step 2</ng-template>
+        Content 2
+        <div>
+          <button mat-button matStepperPrevious>Back</button>
+          <button mat-button matStepperNext>Next</button>
+        </div>
+      </mat-step>
+    </mat-horizontal-stepper>
+  </form>
+  `
+})
+class MatHorizontalStepperWithErrorsApp implements OnInit {
+  formGroup: FormGroup;
+
+  constructor(private _formBuilder: FormBuilder) { }
+
+  ngOnInit() {
+    this.formGroup = this._formBuilder.group({
+      firstNameCtrl: ['', Validators.required],
+      lastNameCtrl: ['', Validators.required],
+    });
+  }
+}
+
 @Component({
   template: `
     <mat-horizontal-stepper>
diff --git a/src/lib/stepper/stepper.ts b/src/lib/stepper/stepper.ts
index cd042fcbf9b..21b784e1161 100644
--- a/src/lib/stepper/stepper.ts
+++ b/src/lib/stepper/stepper.ts
@@ -7,7 +7,13 @@
  */
 
 import {Directionality} from '@angular/cdk/bidi';
-import {CdkStep, CdkStepper, StepContentPositionState} from '@angular/cdk/stepper';
+import {
+  CdkStep,
+  CdkStepper,
+  StepContentPositionState,
+  MAT_STEPPER_GLOBAL_OPTIONS,
+  StepperOptions
+} from '@angular/cdk/stepper';
 import {AnimationEvent} from '@angular/animations';
 import {
   AfterContentInit,
@@ -54,9 +60,11 @@ export class MatStep extends CdkStep implements ErrorStateMatcher {
   /** Content for step label given by `<ng-template matStepLabel>`. */
   @ContentChild(MatStepLabel) stepLabel: MatStepLabel;
 
+  /** @breaking-change 8.0.0 remove the `?` after `stepperOptions` */
   constructor(@Inject(forwardRef(() => MatStepper)) stepper: MatStepper,
-              @SkipSelf() private _errorStateMatcher: ErrorStateMatcher) {
-    super(stepper);
+              @SkipSelf() private _errorStateMatcher: ErrorStateMatcher,
+              @Optional() @Inject(MAT_STEPPER_GLOBAL_OPTIONS) stepperOptions?: StepperOptions) {
+    super(stepper, stepperOptions);
   }
 
   /** Custom error state matcher that additionally checks for validity of interacted form. */
@@ -94,14 +102,7 @@ export class MatStepper extends _CdkStepper implements AfterContentInit {
 
   ngAfterContentInit() {
     const icons = this._icons.toArray();
-
-    ['edit', 'done', 'number'].forEach(name => {
-      const override = icons.find(icon => icon.name === name);
-
-      if (override) {
-        this._iconOverrides[name] = override.templateRef;
-      }
-    });
+    icons.forEach(({name, templateRef}) => this._iconOverrides[name] = templateRef);
 
     // Mark the component for change detection whenever the content children query changes
     this._steps.changes.pipe(takeUntil(this._destroyed)).subscribe(() => this._stateChanged());
diff --git a/src/material-examples/stepper-errors/stepper-errors-example.css b/src/material-examples/stepper-errors/stepper-errors-example.css
new file mode 100644
index 00000000000..e69de29bb2d
diff --git a/src/material-examples/stepper-errors/stepper-errors-example.html b/src/material-examples/stepper-errors/stepper-errors-example.html
new file mode 100644
index 00000000000..dbd2eaabf6b
--- /dev/null
+++ b/src/material-examples/stepper-errors/stepper-errors-example.html
@@ -0,0 +1,33 @@
+<mat-horizontal-stepper linear #stepper>
+  <mat-step [stepControl]="firstFormGroup" errorMessage="Name is required.">
+    <form [formGroup]="firstFormGroup">
+      <ng-template matStepLabel>Fill out your name</ng-template>
+      <mat-form-field>
+        <input matInput placeholder="Last name, First name" formControlName="firstCtrl" required>
+      </mat-form-field>
+      <div>
+        <button mat-button matStepperNext>Next</button>
+      </div>
+    </form>
+  </mat-step>
+  <mat-step [stepControl]="secondFormGroup" errorMessage="Address is required.">
+    <form [formGroup]="secondFormGroup">
+      <ng-template matStepLabel>Fill out your address</ng-template>
+      <mat-form-field>
+        <input matInput placeholder="Address" formControlName="secondCtrl" required>
+      </mat-form-field>
+      <div>
+        <button mat-button matStepperPrevious>Back</button>
+        <button mat-button matStepperNext>Next</button>
+      </div>
+    </form>
+  </mat-step>
+  <mat-step>
+    <ng-template matStepLabel>Done</ng-template>
+    You are now done.
+    <div>
+      <button mat-button matStepperPrevious>Back</button>
+      <button mat-button (click)="stepper.reset()">Reset</button>
+    </div>
+  </mat-step>
+</mat-horizontal-stepper>
diff --git a/src/material-examples/stepper-errors/stepper-errors-example.ts b/src/material-examples/stepper-errors/stepper-errors-example.ts
new file mode 100644
index 00000000000..22e89d43f54
--- /dev/null
+++ b/src/material-examples/stepper-errors/stepper-errors-example.ts
@@ -0,0 +1,30 @@
+import {Component, OnInit} from '@angular/core';
+import {FormBuilder, FormGroup, Validators} from '@angular/forms';
+import {MAT_STEPPER_GLOBAL_OPTIONS} from '@angular/cdk/stepper';
+
+/**
+ * @title Stepper that displays errors in the steps
+ */
+@Component({
+  selector: 'stepper-errors-example',
+  templateUrl: 'stepper-errors-example.html',
+  styleUrls: ['stepper-errors-example.css'],
+  providers: [{
+    provide: MAT_STEPPER_GLOBAL_OPTIONS, useValue: {showError: true}
+  }]
+})
+export class StepperErrorsExample implements OnInit {
+  firstFormGroup: FormGroup;
+  secondFormGroup: FormGroup;
+
+  constructor(private _formBuilder: FormBuilder) {}
+
+  ngOnInit() {
+    this.firstFormGroup = this._formBuilder.group({
+      firstCtrl: ['', Validators.required]
+    });
+    this.secondFormGroup = this._formBuilder.group({
+      secondCtrl: ['', Validators.required]
+    });
+  }
+}
diff --git a/src/material-examples/stepper-states/stepper-states-example.css b/src/material-examples/stepper-states/stepper-states-example.css
new file mode 100644
index 00000000000..e69de29bb2d
diff --git a/src/material-examples/stepper-states/stepper-states-example.html b/src/material-examples/stepper-states/stepper-states-example.html
new file mode 100644
index 00000000000..657fd974f4d
--- /dev/null
+++ b/src/material-examples/stepper-states/stepper-states-example.html
@@ -0,0 +1,60 @@
+<mat-horizontal-stepper #stepper>
+  <mat-step [stepControl]="firstFormGroup">
+    <form [formGroup]="firstFormGroup">
+      <ng-template matStepLabel>Fill out your name</ng-template>
+      <mat-form-field>
+        <input matInput placeholder="Last name, First name" formControlName="firstCtrl" required>
+      </mat-form-field>
+      <div>
+        <button mat-button matStepperNext>Next</button>
+      </div>
+    </form>
+  </mat-step>
+  <mat-step [stepControl]="secondFormGroup">
+    <form [formGroup]="secondFormGroup">
+      <ng-template matStepLabel>Fill out your address</ng-template>
+      <mat-form-field>
+        <input matInput placeholder="Address" formControlName="secondCtrl" required>
+      </mat-form-field>
+      <div>
+        <button mat-button matStepperPrevious>Back</button>
+        <button mat-button matStepperNext>Next</button>
+      </div>
+    </form>
+  </mat-step>
+  <mat-step>
+    <ng-template matStepLabel>Done</ng-template>
+    You are now done.
+    <div>
+      <button mat-button matStepperPrevious>Back</button>
+      <button mat-button (click)="stepper.reset()">Reset</button>
+    </div>
+  </mat-step>
+</mat-horizontal-stepper>
+
+<mat-horizontal-stepper>
+  <mat-step label="Step 1" state="phone">
+    <p>Put down your phones.</p>
+    <div>
+      <button mat-button matStepperNext>Next</button>
+    </div>
+  </mat-step>
+  <mat-step label="Step 2" state="chat">
+    <p>Socialize with each other.</p>
+    <div>
+      <button mat-button matStepperPrevious>Back</button>
+      <button mat-button matStepperNext>Next</button>
+    </div>
+  </mat-step>
+  <mat-step label="Step 3">
+    <p>You're welcome.</p>
+  </mat-step>
+
+  <!-- Icon overrides. -->
+  <ng-template matStepperIcon="phone">
+    <mat-icon>call_end</mat-icon>
+  </ng-template>
+  <ng-template matStepperIcon="chat">
+    <mat-icon>forum</mat-icon>
+  </ng-template>
+</mat-horizontal-stepper>
diff --git a/src/material-examples/stepper-states/stepper-states-example.ts b/src/material-examples/stepper-states/stepper-states-example.ts
new file mode 100644
index 00000000000..bce0d1f2a32
--- /dev/null
+++ b/src/material-examples/stepper-states/stepper-states-example.ts
@@ -0,0 +1,30 @@
+import {Component, OnInit} from '@angular/core';
+import {FormBuilder, FormGroup, Validators} from '@angular/forms';
+import {MAT_STEPPER_GLOBAL_OPTIONS} from '@angular/cdk/stepper';
+
+/**
+ * @title Stepper with customized states
+ */
+@Component({
+  selector: 'stepper-states-example',
+  templateUrl: 'stepper-states-example.html',
+  styleUrls: ['stepper-states-example.css'],
+  providers: [{
+    provide: MAT_STEPPER_GLOBAL_OPTIONS, useValue: {displayDefaultIndicatorType: false}
+  }]
+})
+export class StepperStatesExample implements OnInit {
+  firstFormGroup: FormGroup;
+  secondFormGroup: FormGroup;
+
+  constructor(private _formBuilder: FormBuilder) {}
+
+  ngOnInit() {
+    this.firstFormGroup = this._formBuilder.group({
+      firstCtrl: ['', Validators.required]
+    });
+    this.secondFormGroup = this._formBuilder.group({
+      secondCtrl: ['', Validators.required]
+    });
+  }
+}