Oppenheimer analyst Rupesh Parikh maintained an Outperform rating and $375 price target on Ulta Beauty despite "mixed" Q3 results, but notes that this is "very much the theme in our space" this season. In a research note to investors, Parikh says he observed a "significant" amount of clearance merchandise in-store at the end of Q2, but he had believed Q3 guidance had fully captured the headwind. However, he views this as a transitory headwind and not reflective of a lower margin profile for Ulta, and says he would take advantage of the pullback. Ulta remains a top pick, he adds.