In my case my component looked like this. You should focus on the options part only thought.

<FormControl error={error}>
  <InputLabel>{label}</InputLabel>
  <Select
    value={value}
    onChange={onChange}
    label={label}
  >
    {
      options.length &&
        options.map((option, i) => {
          return (<MenuItem className={classes.menuItem} key={i} value={option}>{option}</MenuItem>)
        })
      }
  </Select>
  { error && <FormHelperText>{ helperText }</FormHelperText> }
</FormControl>

When I changed my component to look like this

<FormControl error={error}>
  <InputLabel>{label}</InputLabel>
  <Select
    value={value}
    onChange={onChange}
    label={label}
  >
    {
      // --> Notice below changes
      options.length > 0 && // --> Changes from `options.length ? ...` to `options.length > 0 && ...`
        options.map((option, i) => {
          return (<MenuItem className={classes.menuItem} key={i} value={option}>{option}</MenuItem>)
        })
      }
  </Select>
  { error && <FormHelperText>{ helperText }</FormHelperText> }
</FormControl>

And then it didn't happen again.

If you want longer explanation, the error log was referring to InputJS:340:1 which refers to the following line

React.useEffect(function () {
  if (!foundMatch && !multiple && value !== '') {
    var values = childrenArray.map(function (child) {
      return child.props.value; // ---> This line specifically
    });
    console.warn(["Material-UI: You have provided an out-of-range value `".concat(value, "` for the select ").concat(name ? "(name=\"".concat(name, "\") ") : '', "component."), "Consider providing a value that matches one of the available options or ''.", "The available values are ".concat(values.filter(function (x) {
      return x != null;
    }).map(function (x) {
      return "`".concat(x, "`");
    }).join(', ') || '""', ".")].join('\n'));
  }
}, [foundMatch, childrenArray, multiple, name, value]);

Let's just say the options.length ? ... conditional lets the "whatever value" slip through while SelectInput.js was expecting for it to be an array of children, but instead of getting an array, it's getting that "whatever value".

That's why when child.props.value was expecting a transformed value, it resulted in Cannot read properties of undefined (reading 'value'). Because the child probably doesn't even have props value defined.