Even for dividend stock investors May was mostly a tough time. Stocks fell about 3.5% in the first three weeks of the month.

The final week of May saw some bargain buying, but then June 1, stocks got slammed with a big 2%-plus selloff nearly across the board. The decidedly downbeat mood in the market has many income-oriented investors simply ignoring the price of their stocks, and choosing just to focus on the fact that they’re still getting a dividend.

This is like the proverbial ostrich with his head buried in the sand. The simple fact is that to be a successful income investor, you can’t afford to drag around a bag of dead-end dividend rocks just because they pay a dividend. That’s a sure way to sink your retirement — and to wind up with an income portfolio that sleeps with the fishes.

Many investors are still desperately clinging to traditional dividend names that have struggled mightily in terms of share price, but yet still pay a respectable dividend. Well, I say it’s time to jettison some of those dead-end dividend stocks, and to rotate your capital into higher yielding stocks with much more upside potential.

Here are five dividend plays to dump now.

Pfizer

I often use drug maker Pfizer (NYSE: PFE) as prime example of a stock that used to be a sound dividend performer, but that really doesn’t belong in an income portfolio. It’s also one of the most widely held stocks in the market. Five years ago PFE shares traded at a split-adjusted $24. Today, the shares are just slightly above $21. That’s about a 12% decline. Yes, the company still pays a dividend, but that dividend has been cut twice over the past few years —  not the way to build a winning income portfolio.

General Electric

Another widely held behemoth that’s failed dividend investors is General Electric (NYSE: GE). The diversified manufacturing firm’s shares are down over 40% over the past five years, but hey, the stock still pays a 3.10% dividend yield, so it’s worth giving up all of that value, right? Wrong. As the economy continues its struggle, look for GE shares to continue coming under pressure.

Hewlett-Packard

PC maker and all-around tech giant Hewlett-Packard (NYSE: HPQ) has actually done fairly well over the past five years, with the stock climbing about 15%. However, over the past 12 months, HPQ shares have run aground, losing nearly 18%. That decline could be exacerbated as the year unfolds, especially considering the company’s lowered third-quarter and full-year outlook. HP said that the impact of the Japan earthquake, along with continued softness in consumer PC demand, forced the company to dampen expectations. Income investors should take HP’s word for it, and reduce exposure to this dead-end dividend stock.

Gap

Clothing retailer Gap Inc. (NYSE: GPS) also has struggled over the past 12 months, with the shares off over 9%. The dividend yield on this stock is just 2.30%, so it’s not even an income standout. On May 20, the company slashed its profit outlook for the year due to an estimated 20% rise in costs per unit. The company attributed those increased costs to surging cotton prices. Gap also warned that it would not be able to fully pass on these increased cost to consumers. That gloomy outlook caused GAP shares to plunge 17% in one trading session, never a good sign of things to come.

Xerox

The once-mighty Xerox (NYSE: XRX) is a technology giant that’s been dead money ever since the turn of the century. Over the past five years, the stock is down more than 27%. With an annual dividend yield of just 1.60%, there’s really no reason for this stock to be in a dividend portfolio. There are countless other stocks paying a much higher yield, and that have much more capital appreciation potential. Don’t make the mistake of copying past dividend glory with Xerox. Your best bet is to change the toner and dump this dead-end dividend stock.

As of this writing, Bryan Perry, held no positions in any of the stocks listed.