“Overall, we see losing the Ulta shop-in-shop relationship as a negative development and something else Target’s next CEO will have to grapple with,” Bellinger wrote in a research note Thursday.

Retail giant Target and the beauty supply chain Ulta Beauty have announced the corporate equivalent of a “conscious uncoupling.”

The Ulta Beauty at Target shops will remain until that time, and guests with linked rewards accounts can continue to earn Ulta Beauty Rewards on eligible Ulta Beauty at Target purchases until August ...