A hybrid design optimization method combining the stochastic method based on simultaneous perturbation stochastic approximation (SPSA) and the deterministic method of Broydon-Fletcher-Goldfarb-Shanno (BFGS) is developed in order to take advantage of the high efficiency of the gradient based methods and the global search capabilities of SPSA for applications in the optimal aerodynamic shape design of a three dimensional elliptic nozzle. The performance of this hybrid method is compared with that of SPSA, simulated annealing (SA) and gradient based BFGS method. The objective functions which are minimized are estimated by numerically solving the 3D Euler and Navier-Stokes equations using a TVD approach and a LU implicit scheme. Computed results show that the hybrid optimization method proposed in this study shows a promise of high computational efficiency and global search capabilities.Singapore-MIT Alliance (SMA)