Hamilton has been hindered by the severe ‘porpoising’ issue with his Mercedes and already trails Max Verstappen by 98 points in the drivers’ standings.
Hamilton’s struggles have been made worse by the fact that he is being outperformed by his new teammate George Russell.
“It’s time for him to resign,” Stewart told The Convex Conversation podcast. “He’s got music, he’s got culture, he loves clothing and the rag trade would be absolutely suitable for him.
“I’m sure he’ll be very successful because he’s been earning a huge amount of money, rightfully so because he’s been the best of his time.
“He’s now struggling a little bit because he’s had a new teammate who’s been quicker than him in qualifying so far, which is gonna be difficult for him to handle.
“Lewis is in that group of the Ayrton Sennas and the Alain Prosts or even the Jackie Stewarts maybe.
“It’s a pity he wasn’t resigning at the top but I don’t think that’s gonna happen now. But nevertheless, it’s wiser to stop than go through all the pain of not being able to do what you did before.
“He’s carried the sport very well. I would like to see him resigning now.”