Could be a lot of things, Not that familiar with outdrives, GT would be the pro there, and be able to tell you if its way too much prop or not for a 3.0.
Otherwise, on the engine, could be fuel issues, I'd be more beleiving an ignition issue, such as not advancing (If mech/vacuum advance and not electronic), spark scatter (bad points, incorrectly installed points), timing, etc. Then look into the fuel system. Secondaries not opening, clogged filters, bad pump.
Good luck with it Jimmy!
Ray