Seems to take quite a while for clients to appear, and may even require a client-workstation restart.  In case the clients are not going to the group you expect them in, make sure you check the "Temporary" group.  If no other group is specified, they should show up there.

I tried restarting the client and the server with same results. I checked the temp group also and it is empty

I had a similar problem at one site when the Windows firewall was still enabled during the client install.  May have to turn that off.  It using Windows GPOs, make sure you refresh policies at the client (gpupdate) and can see that the firewall is turned off in Control Panel.  I ended up having to uninstall and re-install clients too (after I got the firewalls turned off).  Later found that we couldn't ping or use other firewall rules, so re-installed clients again with "Network Threat Protection" removed (and re-enabled Windows firewalls via GPO again).

 

I hope you have better luck and find an easier way.  Fortunately, I've only installed about a dozen clients, so adjustments like this are not too painful as long as I let our "Testers" know when they will see alerts about their system not being protected.