Cramer Makes Verizon (VZ) a Top 5 Pick for '09

Jim Cramer touted Verizon (NYSE: VZ) on Mad Money last night, naming it his second pick for the best five performing stocks in the DJIA during 2009.

Cramer began the segment by pointing out a recent analyst downgrade of Verizon which sank the stock more than 6%. Jim called the rating change "shortsighted" and said the anlayst's thesis is flawed.

Cramer likes Verizon's recent market share gains, as competitor, Sprint (NYSE: S), is "imploding". He also said Verizon will see upside on the back of Research In Motion's (Nasdaq: RIMM) new touchscreen smartphone, the Storm, as the phone has been flying off shelves at incredible rates. Further, as many traders have been viewing Verizon's FiOS service as a negative for the company's overall margins, Cramer rebuked this by noting that FiOS is also taking market share in areas where it is available.

Concluding the segment, Jim called Verizon's 5.8% dividend yield "safe" and posited that the stock is not as cyclical as many think.

Despite the broader weakness in the markets today, shares of Verizon are currently up 2.2% to $32.18.

Verizon Communications, Inc. provides communication services in the United States and internationally.

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