Since this gets repeated so often, it is probably worth reproducing a little more of Knuth's quote.
"There is no doubt that the grail of efficiency leads to abuse. Programmers waste enormous amounts of time thinking about, or worrying about, the speed of non-critical parts of their programs, and these attempts at efficiency actually have a strong negative impact when debugging and maintenance are considered. We should forget about small efficiencies, say about 97% of the time: premature optimization is the root of all evil.
"Yet we should not pass up our opportunities in that critical 3%. A good programmer will not be lulled into complacency by such reasoning, he will be wise to look carefully at the critical code, but only after that code has been identified. It is often a mistake to make a priori judgments about what parts of a program are really critical, since the universal experience of programmers who have been using measurement tools has been that their intuitive guesses fail."
The context for this statement, is of course his article [1] saying that goto statements should not be regarded as bad for religious reasons, but should be used appropriately. How common is the pragmatic approach to goto today, vs the "religious" response to goto?
So this is the context in which it's appropriate to quote Knuth on this: if you are thinking about efficiency all the time, making intuitive guesses about where your programs will be slow, using measurement tools after the fact, and in danger of spending your optimization efforts on 100% of the code instead of 3%, and if you have a rational rather than emotional response to seeing goto statements in your codebase, then Knuth's quote is for you. What he was really arguing for is a practical, rational approach rather than religious, emotional responses. Which was also Dijkstra's point about goto. The whole article is well worth a read if you haven't already seen it.
[1]: https://dl.acm.org/doi/pdf/10.1145/356635.356640