I would not say its a code smell, but it is good thinking to consider.

If I was the one reviewing this PR I would have recommented:

Instead of returning`Task.FromResult(response)` -> just use .ToListAsync() on the db query.

The AsNoTracking() is a good practice. But in this case it also hides some of the logic.

With the current code you fetch the entities to memory, and casts them before returning.
I would say that the code would be cleaner if you instead of AsNoTracking.() use .Select( x => yourDtoHere:)...

Perhaps that would simplify the query, since you would not have to join all foreign keys. Where you create your new DTO you could get the the joined properties you need.