Run gem install wdm on the command prompt.
Then you won't see this issue but still see
X You are not authorized to edit themes on banana-man-co.myshopify.com. Make sure you are a user of that store, and allowed to edit themes.
This issue happens for store owners and it is an active issue on Shoify CLI github page. https://github.com/Shopify/shopify-cli/issues/133.
Follow Caution note on https://shopify.dev/themes/tools/cli/getting-started .