Despite finishing ninth in the Mexican Grand Prix on Sunday (29 October), Hamilton clinched a third world championship in four years, adding to the titles he won in 2008, 2014 and 2015, and drawing level with Sebastian Vettel and Alain Prost in the all-time standing.
Only Michael Schumacher and Juan Manuel Fangio have won more than the Briton, who has now moved one title clear of Sir Jackie Stewart, becoming the most successful British driver in the history of the sport.
And Mansell, who won the world title in 1992, said the Mercedes driver's achievements deserved to be properly recognised.
"I think he deserves everything he gets," Mansell told the Alan Brazil Sports Breakfast on talkSPORT on Monday.
"Lewis, for me, is a breath of fresh air. He crosses so many boundaries, he's a nice lad and he's misunderstood at times. I think now he should be revered in every way he can be."
Hamilton holds the all-time record for most pole positions (72) and is second in the list of all-time Grand Prix wins, having won 61 to Schumacher's record of 91. However, Mansell believes the 32-year-old could match and even surpass the German's records, including his seven world titles.
"Lewis is one of the greats," said Mansell. "I forecasted it a few years ago, that I think Lewis can beat all the records, he's that good. He can be the best of the best of the best. I think he can go on to win eight world titles."
Hamilton himself seems intent to add to his four titles and on Monday (30 October) vowed to continue racing, in what appeared to be a slight dig and former teammate Nico Rosberg, who retired weeks after claiming his maiden world title last year.
"Four is a great number. But I want number five now," said the Stevenage-born racer. "I want to go out at the top [...] I could do the easy thing, like obviously Nico did, which is just stop and retreat with these four titles.
"But I think there's more in me. I think there's more to come, more of a challenge. There's harder times ahead and I like that, I love that. That's challenging, and it would be so boring without it."