if that was my saw... and it ran fine with 150 psi, I would clean the bore, clean the piston and re-ring it with a good set of new factory rings.
if that was my saw... I would forget the word hone. I would think deglaze the bore. it will upset it enuff to seat the rings. and I would take some 600 grit wet/dry sandpaper... must be wet/dry (the gray stuff) and fold it into quarters, wet the bore and the 600 grit with gasoline... put the wetted 600 grit into the bore and rotate around the bore perpendicular to the piston stroke. I would not go up and down. I would do this briefly just so as to break and deglaze the bore. then clean well. keep all debris out of crankcase!! on some of my past engines, 2 stroke and 4 stroke this procedure has deglazed the bores sufficiently to reset the rings and let them seat while not removing excessive bore material such as on a well used or worn bore, which is very easy to do if power honed. for small areas of bore I would use smaller piece of the wetted 600 and do the same direction. you may get many ideas on honing, replacing etc... but I am one who has... not wanting to pull an engine but wanting to freshen it up... done rings like this and done rods and mains with not new bearings... but using brass shims. with valve job, etc got another 75,000 miles out of it. but of course, with this level of DIY, one has to know what they are doing. and how to read a bearing. but u have the piston out, so u must have some experience. a thinner cyl to crankcase gasket may help, too.
your piston's oil grooves are all but non existent. these are important items on the piston to help ensure proper lubrication of the piston to bore when saw running. if it was my saw, it would depend on how I intended to use it, assuming I intended to keep it. I might just up the oil mix in the fuel by 10%, rings and deglaze the bore. a fresh bore, new set of rings and a new piston will give you the best combination. short of that new rings and a hone will do wonders. if it seizes or galls... well, there are ways to remove the alum from the bore. and u will need a new piston. maybe now is the time for a new piston. no doubt a good used serviceable OEM piston will be a good choice if u don't choose to buy a new one or an aftermarket piston.
good luck with your saw project!