In the name of Allah, the Most Gracious, the Most Merciful

It has been narrated that the Prophet, peace be upon him, said to the circumciser regarding female circumcision: "Do not cut severely as that is better for a woman and more desirable for a husband." Reported by Abu Dawood [1].

And from Abu Huraira, may Allah be pleased with him, The Prophet (ﷺ) said, "There are five acts which conform to the pure nature: Circumcision, removing of the pubic hair, clipping the nails, plucking the underarm hair and trimming the moustache." [2]
 

Sheikh al-Islam Ibn Taymiyyah said: “Do not exaggerate in circumcision, as the purpose of male circumcision is to purify him from the impurity retained in the foreskin, and the purpose of female circumcision is to moderate her desire. If she is uncircumcised, she is excessively lustful. This is why it is said in insults: ‘O son of the qalfa’ (uncircumcised), because the uncircumcised woman looks at men more. This is why there are immoralities among the women of the Tatars and the Franks that are not found among Muslim women. If there is excessive circumcision, desire weakens, and the purpose for the man is not fulfilled. However, if it is done moderately, the purpose is achieved." [3]

And this is an article discussing the medical benefits of circumcision from the website (Islam Q&A):

Arabic link (backup link)
English link (backup link)

[1] Book 43, Hadith 499, English translation  : Book 42, Hadith 5251

[2] Riyad as-Salihin 1203

[3]  1/53