That sounds like a CPU bottleneck, then. Pull up Task Manager (keyboard shortcut = Ctrl + Shift + Esc). Go to the performance tab, select the CPU on the left, right click on the graph to the right, and change the view to "logical processors." That will change it from an overall view with only one graph to a more detailed with with 8 graphs - one for each thread on your CPU.
Then run the game to where it gets suttery. After it stutters for a while, tab out (alt + tab) to Task Manager. Look to see if any of the 8 graphs in the CPU view show close to 100% usage. To be clear, I'm not talking about 100% overall CPU usage. That probably won't happen. I'm talking about near or equal 100% usage on a
single thread.
You'll be looking at a CPU bottleneck if any of the threads are at or near 100% while the other threads are less utilized. If just one core is maxed while the others aren't doing anything, your overall CPU usage would be only at 12.5%, making it easy to overlook. That's why it's important to look at the individual thread view, not the overall usage view.
You also only have 8GB of RAM, so check to see if how much is listed under "free." What Task Manager shows that you're using isn't necessarily all that your computer uses. There are other things not counted there, but looking at "free" lets you get a better idea. Just subtract what you have in your system from the "free" amount, and you'll see what you're actually using.
The reason I'm looking at all these other things is because your GPU clearly isn't the bottleneck here. Turning down the graphics proved that. So you have to check everything else related to performance.
That said, the game
should be running okay on your CPU, at least at higher resolutions, and for
average frame rate. But it is fairly CPU-bound, which does describe what you're seeing, since you're problem has to do with
minimum frame rates rather than averages. Take a look at this graph (click it for original article).