The best solution (at least, it worked for me) is: find your watch and tap "Trust" on the prompt that is present. This "Preparing" error seems to be tied to a prompt on the Watch, so it will be spinning until you tap Trust.

Having the same issue (with different packages). Apple --- FIX THIS.

This bug has been bothering me as well. No response from Apple.

this is a bug that's been around for so long, and it's a bad look on apple to not fix it. here's likely what happened. a dev was running a test and temporarily disabled the checkboxes, and then never enabled it. and we've been complaining for years. and apple doesn't care. zero responses from their end. also, the "add to target: none" thing doesn't work. those settings reset if you scroll.