As previously reported, Longbow analyst Garik Shmois downgraded Beacon Roofing to Neutral from Buy following the stock's spike of over 35% from its lows following FY19 guidance that wasn't incrementally worse than expected and a filing that indicated that CD&R has approval to accumulate up to a 30% stake. While he believes the company has issued potentially conservative FY19 guidance, Shmois prefers to step aside pending evidence as to how much upside there actually will be once the construction and hail storm season starts next spring, he tells investors.