Prophet Muhammad (ﷺ) is a descendant of Abraham (عليه السلام). This is evident from the Quran:
ملة أبيكم إبراهيم
[It is] the religion of your father, Abraham
— Quran 22:78
It is also corroborated elsewhere in the Quran, such as:
Quran 2:127-129 And [mention] when Abraham was raising the foundations
of the House and [with him] Ishmael, [saying], "Our Lord, accept
[this] from us. Indeed You are the Hearing, the Knowing. Our Lord, and
make us Muslims [in submission] to You and from our descendants a
Muslim nation [in submission] to You. And show us our rites and accept
our repentance. Indeed, You are the Accepting of repentance, the
Merciful. Our Lord, and send among them a messenger from themselves
who will recite to them Your verses and teach them the Book and wisdom
and purify them. Indeed, You are the Exalted in Might, the Wise."
Quran 14:37 Our Lord, I have settled some of my descendants
in an uncultivated valley near Your sacred House, our Lord, that
they may establish prayer. So make hearts among the people incline
toward them and provide for them from the fruits that they might be
grateful.
The above verses establish that the descendants of Ishmael (عليه السلام) settled around the House (Kaabah) and that a Messenger would be raised from among them who would bring them a Scripture. The Messenger that Abraham (عليه السلام) prayed for in 2:129 refers to the Prophet Muhammad (ﷺ) .
أَنَا دَعْوَةُ أَبِي إِبْرَاهِيمَ
I am the supplication of my father Abraham
— Saheeh Ibn Hibban
There are several Hadith where the Prophet claimed descent from Abraham (عليه السلام), among them:
قَالَ رَسُولُ اللَّهِ صلى الله عليه وسلم " إِنَّ اللَّهَ اصْطَفَى
مِنْ وَلَدِ إِبْرَاهِيمَ إِسْمَاعِيلَ وَاصْطَفَى مِنْ وَلَدِ
إِسْمَاعِيلَ بَنِي كِنَانَةَ وَاصْطَفَى مِنْ بَنِي كِنَانَةَ قُرَيْشًا
وَاصْطَفَى مِنْ قُرَيْشٍ بَنِي هَاشِمٍ وَاصْطَفَانِي مِنْ بَنِي
هَاشِمٍ
The Messenger of Allah said: Allah chose from the Children of Abraham:
Ishmael. And chose from the children of Ishmael: Bani Kananah, and
from the Bani Kananah He chose the Quraysh, and from the Quraysh He
chose Bani Hashim, and He chose me from the Bani Hashim.
— Jami Tirmidhi كتاب المناقب ( Book of virtues )
رَسُولَ اللَّهِ صلى الله عليه وسلم يَقُولُ " إِنَّ اللَّهَ اصْطَفَى
كِنَانَةَ مِنْ وَلَدِ إِسْمَاعِيلَ وَاصْطَفَى قُرَيْشًا مِنْ كِنَانَةَ
وَاصْطَفَى مِنْ قُرَيْشٍ بَنِي هَاشِمٍ وَاصْطَفَانِي مِنْ بَنِي
هَاشِمٍ "
The Messenger of Allah said: Verily Allah granted eminence to Kinana
from amongst the descendants of Ishmael, and he granted eminence to
the Quraish amongst Kinana, and he granted eminence to Banu Hashim
amongst the Quraish, and he granted me eminence from the tribe of
Banu Hashim.
— Sahih Muslim كتاب الفضائل ( Book of virtues )