Can you tell us what kind of groups you thought it should shoot at 100 yards???? When you say "match grade", what exactly is "match" about it?? I mean, is it just the barrel, what trigger, etc.??? I know guys that believe just because it's an AR and their buddies told them it will, believe it should be shooting one ragged hole....that's not being realistic. Not saying an AR cant, but most will not. Most bolt guns will not either.
Ar's typically shoot pretty good with decent ammo and a capable shooter pulling the trigger, but I can tell you that simply taking it apart and putting it back together is very extremely likely to NOT result in any great accuracy improvements. It has also been suggested that you replace several parts that don't necessarily enhance accuracy as well...I wouldn't suggest you count on that to do it either. I do not believe the gas port cutting has much to do with the way the rifle shoots accuracy wise.
If it were mine I would look at a new barrel and a good trigger. First though, and don't take this wrong, try shooting one of your buddies AR's that is a known good accurate shooter and see if you get reasonable results like he does. If so, I would go with "throttle up" on a new barrel and {possibly}trigger. If not, I'd let him shoot yours. Again, not trying to say you might be a bad shot, just trying to rule out every variable.