This is the glitch and as described all Dinosaurs, flying and aquatic reptiles look like this Spinosaurus.
I do not know the actual cause for the glitch and my prime suspect involves the platform of choice, PC. Specifically a Steam Deck.
The glitch seems to have happened after the Deck updated as the day before the update no Dino looked like this. What makes this suspension more likely is this glitch happens regardless of game mode.
The current Spinosaurus you see was taken in a late playthrough of a Challenge Mode run, primarily used to unlock Dinos for Sand Box. But even new playthroughs in Challenge, Campaign, Chaos Theory, and Sandbox will have Dinosaurs looking "Squished." Restarting doesn't fix, verifying files doesn't fix, full on unistall and re-install doesn't fix it.
I post this for a mixture of spreading word as well as hopeful someone else has experienced this. Perhaps even pinpoint the root of the cause.