I just checked the valves and 15/16 were in spec, and one of them was just ever so slightly too large. (max of 0.2mm, able to just fit 0.203mm feeler gauge in)did you say if the bike has ever had the valves adjusted? low compression doesn't automatically mean it's a bad motor. stuck open valves etc can let all of the compression out.
Intuit - the bike has 26k miles...Although my title lists the miles as 0, as did the previous owner's. Is it possible the bike had way more and the previous owner bought a new lower mile dash for it?