This paper describes a new mathematical framework for optimum preform design in hybrid manufacturing, where additive manufacturing is combined with machining. The framework minimizes the combined cost for deposition and machining, while respecting the constraint imposed by machining stability (i.e., machining parameters that produce chatter are rejected). A case study is presented where a thin wall design is parameterized to describe the overbuilt deposition geometry. A grid of candidate solutions is selected to calculate cost and the stability limit considering both the part and tool dynamics. The minimum cost option is deposited and machined to demonstrate the approach.