I agree with you mate, seems that he is due for retirement already. He got Naverette in the chin a few times but somehow it didn't bother the latter so that means his power is fading already and like you said, he can't win in a championship fight so better for him to retire. I don't know if there is a rematch clause on this one and if indeed there is, better if Valdez won't exercise it.
I doubt Valdez will retire right away. He just lost to the better man. Valdez landed huge power shots at Navarette that are capable of knocking out any guys in the division. It's just that Navarette is not only heavy-handed but has a very tough chin and a thick skin as I can't find any cut or bruise in his face.
I'd still favor Valdez to win over WBA champion Hector Luis Garcia and IBF champion Joe Cordina. Maybe it's 50/50 against the WBC champion O'Shaquie Foster. So there are still a lot of good fights left for Valdez before retiring. As for Navarette, he wants to unify his belt and there are also some rumors about a potential match-up against Shakur Stevenson who's already campaigning 1 division north.
I would love to see unification fights for this division to have an undisputed champion. I believe Navarrette would be the favorite now but the other networks are the main hurdle if they allow their underdogs to fight someone from a rival network with a huge potential of losing.
It's premature to speculate about retirement. The last two boxers who defeated him are both great fighters, so he should view these experiences as valuable learning opportunities. At the age of 32, there are still numerous fights ahead for him, providing ample chances to regain his reputation. Eventually, he might find a weight division that suits him well and could potentially dominate before retiring.
The two boxers who bested him, Emanuel Navarrete and Shakur Stevenson, are both champions, making the defeats understandable. What I appreciate about Valdez is his willingness to take on the best opponents. While some undefeated boxers choose to maintain their records by selecting easier opponents, Valdez isn't afraid to face tough challenges, which makes him more exciting to watch.