It's true Naruto stops being good around episode 135, no one will deny that, but the 3rd's fight, the Rock Lee battle, the paper exam in episode 25, those are all excellently scripted, choreographed and directed, with much faster pacing than the 1st few eps. I like both, but from a production and direction standpoint the team improved a lot after their first season and started producing better quality stuff, in production terms rivaling bigger budget series like Kaleido Star, Hikaru no Go, even recent Gundam.
Either way, it's not "crap," so if we're going to pick a posterboy bad series to complain about, let's pick something else, like Ping Pong Club.