I’m not saying that the valve seat was definitely loose, but it’s not uncommon when the engine gets hot.
When it cools, it may grip again so problems may not be obvious.
Broken piston rings can’t be seen without removing the piston, but a very worn bore will cause the engine to smoke.
At this point, see that there is a small clearance between the valve stems and their lifters - simple as the springs are out.
Give us a picture of the valve retainers please!
I don’t bother measuring the compression on these engines, if your thumb blows off the plug hole when you are cranking it will probably be ok.
John