A watermark is a label, not a security control
This is the most important thing to be clear about. A watermark is text drawn onto the page. It does not encrypt anything, does not restrict what anyone can do with the file, and does not prevent copying, printing or forwarding. Someone who receives a watermarked PDF has the whole document and can read every word of it.
It can be removed, too. The text is page content, so an editor can strip it, a determined person can crop banners away, and rasterising and re-OCRing the page reproduces the content without the stamp. Tiled placement makes removal more tedious, not impossible.
Which is fine, because that is not the job. The job is communication: a reader who opens a page stamped DRAFT will not mistake it for final, and a recipient of a page marked CONFIDENTIAL knows the expectation before deciding to forward it. Marking a document sets expectations and creates a record of what was communicated. If you need to control access, encrypt the file — and understand that these are complementary measures, not alternatives.