I had resolved it in my case.
It seems caused by mismatch of iOS min support version and Watch OS min support version.
For my app, I set iOS support from iOS 13, and watch OS support from 5. But the iOS 13 is match from Watch OS 6. So I set Watch app support from 6.0, the TF builds could install normally.
Topic:
App Store Distribution & Marketing
SubTopic:
TestFlight
Tags: