Not bad. Some heavy varnish, but no chunks.
I'd expect something like that on a valve cover. The valve covers don't get "Oiled" it is more of a "mist" of oil.
Very fine particles are flung onto it, almost stuff that is only vaporized elsewhere into a crazy fine mist.
Synthetics to not break down like conventional oils over long runs, and the valve covers is one place that this becomes apparent after many many OCI's.
I wouldn't call it "bad". I'd just clean it with carb or brake cleaner and make sure it is dry before putting it back together.
How does everything look on the engine?