Possibly very soon by the looks of this response: What is the highlight instance and how would I use it? - #15 by Aliasbinman2
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How did you make it so the highlight still works even with the transparency not being 0
https://gyazo.com/01669c129b2067bfe7fc53b698582c76.mp4
The highlight only works when the transparency is 0
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I think the feature is still unreleased. You probably used roblox studio mod manager.
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no, i have it too
no fflags were modified nor studio settings
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So it got released? No long ago it wasnât working for me, now is workingâŚ
I wonder if this is going to get announced.
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Itâs released for client, but more than likely itâll be flagged off if thereâs still bugs with it.
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@gigagiele You might want to look into this -
When a highlight is in a model, if a secondary highlight is placed in that same model, then even if the secondary highlight has transparency set to 1 and is disabled, it will still occlude the first highlight.
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My script sets the parent of the highlight to the part the user is hoving over, but the previous part stays highlighted if the parent of the highlight isnât set to nil before itâs being set to another part.
So to move over the highlight without having the other part keeping its highlight, you have to first set its parent to nil before setting its parent to another parent.
Edit: I hope this is helpful, for myself it was very helpful once I figured this out.
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Thanks - although we shouldnât have to do that - this is a change in behaviour in the last couple of days. It should be reverted back to the way it was. 
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This was not ready for release it is broken as hell.
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I found a couple of posts claiming that this bug was fixed. I am still seeing issues in Studio at least as of today.
I used the parent to nil and reparent workaround.
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Gonna bump this again because this is still ongoing
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Bumping this post with some footage of highlight bugs:
When the children of a model, with a highlight, are reparented they remain highlighted.
Same bug applies to the new selection tool.
Destroying the highlight of a model causes the highlight to linger.
Same applies when the adornee is set to nil, and/or destroyed.
The effect of the Adornee property is lost when the highlight is reparented to another instance of the Model class.
There also seems to be some sort of entangling between highlights that causes them to all share the same properties when they shouldnât, but this is difficult to replicate so thereâs no footage for this.
Iâve managed to catch the entanglement bug, but it happens randomly and unpredictably.
As you can see in the video though, both highlight instances have a green outline despite only one of them having that property.
Still an issue. Appears to only be something that happens in studio editing but itâs still annoying regardless.
Somehow I have stacked highlights???
Parenting it to PlayerGui and adorning it to the parts have the same issue of it applying to too many partsâŚ
@gigagiele @thirdtakeonit is there any update on this??
Turned on a flag fixing Highlight Applies To Everything - Forced To Restart that may resolve some of the issues brought up in this thread. Let us know what issues still persist and we can triage them
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These bugs still persist 
This one is fixed 
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BUMPING THIS
When playing / testing in studio, if I have a highlight under a part / meshpart, with the adornee set to the part (the ball) and the parent set to workspace, it works completely fine, only highlighting the ball. (The character being highlighted with the darker red is normal)
HOWEVER
When it comes to running in-game itself on Roblox, itâs highlighting not only the ball, but both the NPC and the player, and also sometimes highlighting the whole map.
In-game Realtime Explorer
Setting the ballâs parent to a folder completely breaks the highlight - Making it not visible even though itâs enabled (In studio and Roblox).
Setting the ballâs parent to a model seems to work however, anything else added into the model getâs the highlight too.
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This is also happening to me, but in my case the highlight just doesnât work, or sometimes affects the parent of the adornee/parent of the highlight
Having a similar issue where everything gets highlighted even after sanity checks. Often its whenever I have something parented to the player, but the highlight adornee is set as the model not the player.