Apple Watch Ultra 2 not tracking sleep

Brand new Apple Watch Ultra 2, Brand new iPhone 15 Pro Max. Sleep schedule set up, sleep focus on, band tight against skin 1" above wrist bone, battery fully charged, both phone and watch updated to latest software update. Sleep app installed on watch and phone. Verizon store even looked it and said everything was set up right. Still not tracking stages of sleep, but does track time in bed from use of the phone.

Any help would be greatly appreciated. Absolutely insane a $1,000 won't track sleep but my $100 fitbit did...