A refined dynamic finite-strain shell theory for incompressible hyperelastic materials was developed by the authors recently. In this paper, we first derive the associated linearized incremental theory, and then use it to investigate wave propagation in a fiber-reinforced hyperelastic tube that is subjected to an axial pre-stretch and internal pressure. We obtain the dispersion relations for both axisymmetric and non-axisymmetric waves and discuss their accuracy by comparing them with the exact dispersion relations. The bending effect is also examined by comparing the dispersion curves based on the present theory and membrane theory, respectively. It is shown that the present theory is more accurate than the membrane theory in studying wave propagation and the bending effect plays an important role in some wave modes for relatively large wavenumbers. The effects of the pressure, axial pre-stretch and fiber angle on the dispersion relations are displayed. These results provide a theoretical foundation for wave propagation in arteries, which can be used to determine arterial properties.