"I picked up a Harbor Freight compression tester and it showed around 40 lbs but not sure I trust it."
----------------------------
That compression tester might be junk. As Pioneerguy600 said, "120 is bare bones."
OR
The 026 PRO has a decomp valve. Perhaps it was pushed in (open) when you ran the compression test. Please check that compression again. Be sure the decomp is pulled out.
I’d say the compression tester doesn’t have a shrader valve at the spark plug end and is giving a false reading. I got 25 psi on an old and brand new saw. Took it back, brought a quality one and it has 2 shrader valves. One on the attachment that screws into the spark plug hole and one on the opening to the dial indicator. I then got 165 psi on a new ms 180 and 110 on a scored ms 180 which sounds just right.