I've seen this issue before as well. Based on how I have seen the bug, it isn't "morphing" loot, like the mob had X item and now it has Y item.
What is probably happening is the loot window stops receiving graphics updates when it is hidden. So if the window has some stale data in it from when it was last closed, it will take one or two frames for the game to update the window when it first pops back up. This is because the window is basically paused when it is hidden. For performance reasons you don't want to try and update the window while it is hidden.
This is what would be considered a very low priority bug, as it doesn't affect your game or loot at all, it is just a quick graphics glitch. It is almost certainly a client side bug, not related to their servers or your internet connection.
It may not even be fixable by the staff, as the game client is not made by them, and we do not have the source code. That limits what can be done to fix client side bugs like this.
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