Apple Watch step counter not tracking steps continuously

I bought an Apple Watch SE recently and it is not tracking the steps continuously. I take 5 steps and check the reading, and there is no change in step counter. Sometimes even if I take 10 - 15 steps, it does not update the step counter. It is like it is frozen for a while and then it starts updating for the new steps, ignoring the previous steps taken.

Has anyone faced this issue? Is this something wrong with the product or are the apple watch step counter like this by default?