Apple TV 4 keeps pausing for minutes buffering .m2ts files

I am running Plex on a late 2013 MacPro 10.11.6 with 64 GB of ram, so I have plenty of horsepower.

If I stream to Plex to either of my 2 Oppo’s, one ethernet and one wired to an airport extreme, I have no problems using the Oppo network option to access Plex. I can select the DTS-MA soundtrack and it plays just fine, and the Oppo sees it as DTS-MA. This is expected, as the Oppo’s decode virtually everything I’ve ever thrown at them. So my network has the bandwidth, and the Plex server seems to work OK.

However when I try to watch the same .m2ts file on my ATV4 there are big buffering times. Minutes to start, plays some minutes, and then more minutes waiting to buffer more. I’ve had no problems with .m2ts files before, so it looks like a new behavior. My transcoder is set to:

Quality: Make my CPU hurt
Timeout: 20
duration: 120
throttle buffer: 60
Background transcoding X264 preset: Ultra fast
Maximum simultaneous transcode: unlimited

What am I missing?

I received a message that my computer was not powerful enough. 12 cpus and not powerful enough? Looking at activity monitor the transcoder is running at ~350% of cpu. Maximum on my system is ~2400%.

Streaming another .m2ts file the transcoder ran at just 8% with no pauses. Looking at the file metadata, they seem to be identical with AVC video, PCM and DTS-MA audio. The only difference with the pausing file is that it has 5 text streams.