Place the watermelon cubes in a blender or food processor and blend until smooth.
Strain the watermelon puree through a fine mesh sieve to remove any pulp or seeds, if desired.
In a small saucepan, combine the sugar and water over medium heat. Stir until the sugar dissolves completely to create a simple syrup. Let it cool to room temperature.
Mix the strained watermelon puree, cooled simple syrup, and lime juice in a large bowl until well combined.
Pour the mixture into an airtight container and freeze for at least 4-6 hours, stirring every hour to break up ice crystals for a smoother texture. Alternatively, use an ice cream maker following the manufacturer's instructions.
Once fully frozen and set, scoop the watermelon sorbet into bowls or cones and serve immediately.
Notes
For best results, use a ripe and sweet watermelon. Adjust sugar based on the natural sweetness of the fruit.