A quasi-3D hyperbolic shear deformation theory for functionally graded plates is developed. The theory accounts for both shear deformation and thickness-stretching effects by a hyperbolic variation of all displacements across the thickness, and satisfies the stress-free boundary conditions on the top and bottom surfaces of the plate without requiring any shear correction factor. The benefit of the present theory is that it contains a smaller number of unknowns and governing equations than the existing quasi-3D theories, but its solutions compare well with 3D and quasi-3D solutions. Equations of motion are derived from the Hamilton principle. Analytical solutions for bending and free vibration problems are obtained for simply supported plates. Numerical examples are presented to verify the accuracy of the present theory.