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http://forums.steampowered.com/forums/showthread.php?t=2681565
But to fix the stuttering issue, they recommend installing a .dll file called D3D9.dll in the game's folder.
Sadly the link they gave was removed by Steam's link auto-remover (which sometimes misreads things as phishing sites or spam sites).
But you can easily find it by Googling it.
Copying that into the Sonic & Sega All-Stars folder should improve things drastically.
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In addition to that, you also might need to adjust the screen's resolution. Not too high, not too low, or it'll cause lag either way.
My dual-core Windows 8 laptop is normally 1366x768, but can smoothly run the game at 1028x768. I found when I had it set to a lower resolution, it actually made the lagging worse. And of course at 1366x768 it lagged.
So, you'll need to find that zone where it works beautifully.
But the D3D9.dll should help the stuttering a lot.
Disabling the other stuff helped, but it was the model detail setting that was single-handedly the cause of the stuttering.