Trying to install intel based VM on M1 Mac

Trying to install owasps broken web app vm onto parallels. When converting the vm to work with parallels I get a message saying it's running intel and isn't compatible. I thought Parallels could run intel based vms like windows now? Am I missing something?

 

Hi, Intel based VM is not supported on M1 Mac. By design only ARM based VM can be run on M1. You can copy data from Intel-based to ARM-based virtual machines by following this KB article. Please reach us back for any further queries.