Diagnosis
The internal Time-of-Flight (ToF) sensor is obstructed or the projector is on an unstable surface. The sensor is located next to the lens.
How to Fix It
Ensure the projector is on a flat, stationary surface. Clean the lens and the small black sensor window next to it with a dry microfiber cloth. Power cycle the projector. Upon restart, keep the area in front of the lens clear for 10 seconds while it performs autofocus.
If That Didn't Work
Manually disable autofocus. Go to Settings > Projector Settings > Autofocus and turn it to OFF. Use focus ring on the lens to adjust clarity.
Heads Up
The autofocus will fail if projecting onto a patterned surface, a dark wall, or if there is a strong light source shining directly on the sensor. Use a plain, light-colored surface.