I'd be looking at the reed valves.
About 8 or so years ago, I had a small (2.5HP) direct drive compressor. One day the compressor note changed and it refused to go past 25 psi.
My analysis of the problem hinted that it was most likely a damaged reed valve, so I pulled the head off.
When I removed the reed valve plate that was sandwiched between the head and the cylinder barrel, I discovered that both screws that held the horseshoe shaped outlet reed valve assembly to the valve plate had come out, and the reed valve was loose in the outlet head chamber.
A bit of Loctite on the threads and back into the valve plate they went. Four bolts to re-attach the head, one nut to connect the air line, switch it on, and all was good.