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A load of 1 means: 1 CPU is used to 100 %. So if you have 4 CPUs, a load of 4 means: All 4 are busy.
If you only have 1 CPU and a load of 4, that means: Even if your CPU was 4 times as fast it still would be used to a 100 %. So I'd say: Yes, this is bad, if you have less than, say, 5 CPUs.
Usually, your server load should be up to 80 % (of all CPUs), after that it's time to switch to a faster server.
It would of course be interesting, whether that's just a single peak or whether you have that high a load all the time.
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