Soft materials can be designed with a functionally graded (FG) property for specific applications. In this paper, we analyze the axisymmetric guided wave propagation in a pressurized FG elastomeric hollow cylinder. The cylinder is subjected to a combined action of axial pre-stretch and pressure difference applied to the inner and outer cylindrical surfaces. We consider both torsional waves and longitudinal waves propagating in the FG cylinder made of incompressible isotropic elastomer, which is characterized by the Mooney-Rivlin strain energy function but with the material parameters varying with the radial coordinate in an affine way. The pressure difference generates an inhomogeneous deformation field in the FG cylinder, which dramatically complicates the superimposed wave problem described by the small-on-large theory. A particularly efficient approach is hence employed which combines the state-space formalism for the incremental wave motion with the approximate laminate or multi-layer technique. Dispersion relations for the two types of axisymmetric guided waves are then derived analytically. The accuracy and convergence of the proposed approach is validated numerically. The effects of the pressure difference, material gradient, and axial pre-stretch on both the torsional and the longitudinal wave propagation characteristics are discussed in detail through numerical examples. It is found that the frequency of axisymmetric waves depends nonlinearly on the pressure difference and the material gradient, and an increase in the material gradient enhances the capability of the pressure difference to adjust the wave behavior in the FG cylinder.