High-order accurate solutions of parabolized Navier–Stokes (PNS) schemes are used as basic flow models for stability analysis of hypersonic axisymmetric flows over blunt and sharp cones at Mach 8. Both the PNS and the globally iterated PNS (IPNS) schemes are utilized. The IPNS scheme can provide the basic flow field and stability results comparable with those of the thin-layer Navier–Stokes (TLNS) scheme. As a result, using the fourth-order compact IPNS scheme, a high-order accurate basic flow model suitable for stability analysis and transition prediction can be efficiently provided. The numerical solution of the PNS equations is based on an implicit algorithm with a shock fitting procedure in which the basic flow variables and their first and second derivatives required for the stability calculations are automatically obtained with the fourth-order accuracy. In addition, consistent with the solution of the basic flow, a fourth-order compact finite-difference scheme, which does not need higher derivatives of the basic flow, is efficiently implemented to solve the parallel-flow linear stability equations in intrinsic orthogonal coordinates. A sensitivity analysis is also conducted to evaluate the effects of numerical dissipation and grid size and also accuracy of computing the basic flow derivatives on the stability results. The present results demonstrate the efficiency and accuracy of using high-order compact solutions of the PNS schemes as basic flow models for stability and transition prediction in hypersonic flows. Moreover, indications are that high-order compact methods used for basic-flow computations are sensitive to the grid size and especially the numerical dissipation terms, and therefore, more careful attention must be kept to obtain an accurate solution of the stability and transition results.