Sometimes steam overlay goes potato and the only solution is to close out and restart the game. I've experienced this issue on other games as well.

It works for me

Originally posted by loppantorkel:

It works for me

OK...

For F12, that is Steam Screenshots, to work, Steam overlay has to be running paired with the game.

Originally posted by Arc:

For F12, that is Steam Screenshots, to work, Steam overlay has to be running paired with the game.

F12 works with all the 2TB of (77) games i have installed on my 2TB MX 500 SSD so i don't understand the issue....

Are you using Vulkan? In my experience that makes the overlay malfunction.

Does shift+tab bring up the steam overlay while Valheim is running? If not it means the overlay isn't running while the game is, which leads to the screenshots not happening.

If the overlay does come up but screenshots aren't being taken then there's some sort of other issue that is totally new to me.