The gizmo is drawn in the transformed space of the gizmo (see `GPU_matrix_mul(matrix_final)` in `gizmo_cage2d_draw_intern()`). This causes initial stretching of the drawn circle. However, this initial stretching is already being compensated by drawing an ellipse, which axes are computed based on the gizmo size (see variable `margin`).
Therefore, computing the size of the gizmo (`scale_xy`) based on render dimensions (`dims`) seems to be overcompensating and introduces another stretching. This patch removes the redundant compensation.
Pull Request: https://projects.blender.org/blender/blender/pulls/137079
84fb437355