diff --git a/dvc/command/diff.py b/dvc/command/diff.py
index 4842018a4a..6fd64e67da 100644
--- a/dvc/command/diff.py
+++ b/dvc/command/diff.py
@@ -5,6 +5,7 @@
 
 import colorama
 
+from dvc.command import completion
 from dvc.command.base import CmdBase, append_doc_link
 from dvc.exceptions import DvcException
 
@@ -127,7 +128,9 @@ def _format(diff, hide_missing=False):
 
     def run(self):
         try:
-            diff = self.repo.diff(self.args.a_rev, self.args.b_rev)
+            diff = self.repo.diff(
+                self.args.a_rev, self.args.b_rev, self.args.targets
+            )
             show_hash = self.args.show_hash
             hide_missing = self.args.b_rev or self.args.hide_missing
             if hide_missing:
@@ -167,6 +170,14 @@ def add_parser(subparsers, parent_parser):
         help=DIFF_DESCRIPTION,
         formatter_class=argparse.RawDescriptionHelpFormatter,
     )
+    diff_parser.add_argument(
+        "--targets",
+        nargs="*",
+        help=(
+            "Limit command scope to these tracked files or directories. "
+            "Accepts one or more file paths."
+        ),
+    ).complete = completion.FILE
     diff_parser.add_argument(
         "a_rev",
         help="Old Git commit to compare (defaults to HEAD)",
diff --git a/dvc/repo/diff.py b/dvc/repo/diff.py
index ba7a4c44ca..097d30d4ae 100644
--- a/dvc/repo/diff.py
+++ b/dvc/repo/diff.py
@@ -1,6 +1,7 @@
 import logging
 import os
 
+from dvc.exceptions import PathMissingError
 from dvc.repo import locked
 from dvc.tree.local import LocalTree
 from dvc.tree.repo import RepoTree
@@ -9,7 +10,7 @@
 
 
 @locked
-def diff(self, a_rev="HEAD", b_rev=None):
+def diff(self, a_rev="HEAD", b_rev=None, targets=None):
     """
     By default, it compares the workspace with the last commit's tree.
 
@@ -23,12 +24,28 @@ def diff(self, a_rev="HEAD", b_rev=None):
 
     b_rev = b_rev if b_rev else "workspace"
     results = {}
+    missing_targets = {}
     for rev in self.brancher(revs=[a_rev, b_rev]):
         if rev == "workspace" and rev != b_rev:
             # brancher always returns workspace, but we only need to compute
             # workspace paths/checksums if b_rev was None
             continue
-        results[rev] = _paths_checksums(self)
+
+        targets_path_infos = None
+        if targets is not None:
+            # convert targets to path_infos, and capture any missing targets
+            targets_path_infos, missing_targets[rev] = _targets_to_path_infos(
+                self, targets
+            )
+
+        results[rev] = _paths_checksums(self, targets_path_infos)
+
+    if targets is not None:
+        # check for overlapping missing targets between a_rev and b_rev
+        for target in set(missing_targets[a_rev]) & set(
+            missing_targets[b_rev]
+        ):
+            raise PathMissingError(target, self)
 
     old = results[a_rev]
     new = results[b_rev]
@@ -62,7 +79,7 @@ def diff(self, a_rev="HEAD", b_rev=None):
     return ret if any(ret.values()) else {}
 
 
-def _paths_checksums(repo):
+def _paths_checksums(repo, targets):
     """
     A dictionary of checksums addressed by relpaths collected from
     the current tree outputs.
@@ -74,10 +91,10 @@ def _paths_checksums(repo):
         file:      "data"
     """
 
-    return dict(_output_paths(repo))
+    return dict(_output_paths(repo, targets))
 
 
-def _output_paths(repo):
+def _output_paths(repo, targets):
     repo_tree = RepoTree(repo, stream=True)
     on_working_tree = isinstance(repo.tree, LocalTree)
 
@@ -101,17 +118,29 @@ def _to_checksum(output):
     for stage in repo.stages:
         for output in stage.outs:
             if _exists(output):
-                yield _to_path(output), _to_checksum(output)
-                if output.is_dir_checksum:
-                    yield from _dir_output_paths(repo_tree, output)
+                yield_output = targets is None or any(
+                    output.path_info.isin_or_eq(target) for target in targets
+                )
 
+                if yield_output:
+                    yield _to_path(output), _to_checksum(output)
 
-def _dir_output_paths(repo_tree, output):
+                if output.is_dir_checksum and (
+                    yield_output
+                    or any(target.isin(output.path_info) for target in targets)
+                ):
+                    yield from _dir_output_paths(repo_tree, output, targets)
+
+
+def _dir_output_paths(repo_tree, output, targets=None):
     from dvc.config import NoRemoteError
 
     try:
         for fname in repo_tree.walk_files(output.path_info):
-            yield str(fname), repo_tree.get_file_hash(fname).value
+            if targets is None or any(
+                fname.isin_or_eq(target) for target in targets
+            ):
+                yield str(fname), repo_tree.get_file_hash(fname).value
     except NoRemoteError:
         logger.warning("dir cache entry for '%s' is missing", output)
 
@@ -124,3 +153,18 @@ def _filter_missing(repo, paths):
             out = metadata.outs[0]
             if out.status().get(str(out)) == "not in cache":
                 yield path
+
+
+def _targets_to_path_infos(repo, targets):
+    path_infos = []
+    missing = []
+
+    repo_tree = RepoTree(repo, stream=True)
+
+    for target in targets:
+        if repo_tree.exists(target):
+            path_infos.append(repo_tree.metadata(target).path_info)
+        else:
+            missing.append(target)
+
+    return path_infos, missing
diff --git a/tests/func/test_diff.py b/tests/func/test_diff.py
index 6f296aa35e..63cd02c38f 100644
--- a/tests/func/test_diff.py
+++ b/tests/func/test_diff.py
@@ -264,3 +264,141 @@ def test_no_commits(tmp_dir):
     assert Git().no_commits
 
     assert Repo.init().diff() == {}
+
+
+def setup_targets_test(tmp_dir):
+    tmp_dir.dvc_gen("file", "first", commit="add a file")
+
+    tmp_dir.dvc_gen({"dir": {"1": "1", "2": "2"}})
+    tmp_dir.dvc_gen("file", "second")
+
+    tmp_dir.dvc_gen(os.path.join("dir_with", "file.txt"), "first")
+
+
+def test_targets_missing_path(tmp_dir, scm, dvc):
+    from dvc.exceptions import PathMissingError
+
+    setup_targets_test(tmp_dir)
+
+    with pytest.raises(PathMissingError):
+        dvc.diff(targets=["missing"])
+
+
+def test_targets_single_file(tmp_dir, scm, dvc):
+    setup_targets_test(tmp_dir)
+
+    assert dvc.diff(targets=["file"]) == {
+        "added": [],
+        "deleted": [],
+        "modified": [
+            {
+                "path": "file",
+                "hash": {"old": digest("first"), "new": digest("second")},
+            }
+        ],
+        "not in cache": [],
+    }
+
+
+def test_targets_single_dir(tmp_dir, scm, dvc):
+    setup_targets_test(tmp_dir)
+
+    dir_checksum = "5fb6b29836c388e093ca0715c872fe2a.dir"
+
+    expected_result = {
+        "added": [
+            {"path": os.path.join("dir", ""), "hash": dir_checksum},
+            {"path": os.path.join("dir", "1"), "hash": digest("1")},
+            {"path": os.path.join("dir", "2"), "hash": digest("2")},
+        ],
+        "deleted": [],
+        "modified": [],
+        "not in cache": [],
+    }
+
+    assert dvc.diff(targets=["dir"]) == expected_result
+    assert dvc.diff(targets=["dir" + os.path.sep]) == expected_result
+
+
+def test_targets_single_file_in_dir(tmp_dir, scm, dvc):
+    setup_targets_test(tmp_dir)
+
+    assert dvc.diff(targets=[os.path.join("dir", "1")]) == {
+        "added": [{"path": os.path.join("dir", "1"), "hash": digest("1")}],
+        "deleted": [],
+        "modified": [],
+        "not in cache": [],
+    }
+
+
+def test_targets_two_files_in_dir(tmp_dir, scm, dvc):
+    setup_targets_test(tmp_dir)
+
+    assert dvc.diff(
+        targets=[os.path.join("dir", "1"), os.path.join("dir", "2")]
+    ) == {
+        "added": [
+            {"path": os.path.join("dir", "1"), "hash": digest("1")},
+            {"path": os.path.join("dir", "2"), "hash": digest("2")},
+        ],
+        "deleted": [],
+        "modified": [],
+        "not in cache": [],
+    }
+
+
+def test_targets_file_and_dir(tmp_dir, scm, dvc):
+    setup_targets_test(tmp_dir)
+
+    dir_checksum = "5fb6b29836c388e093ca0715c872fe2a.dir"
+
+    assert dvc.diff(targets=["file", "dir"]) == {
+        "added": [
+            {"path": os.path.join("dir", ""), "hash": dir_checksum},
+            {"path": os.path.join("dir", "1"), "hash": digest("1")},
+            {"path": os.path.join("dir", "2"), "hash": digest("2")},
+        ],
+        "deleted": [],
+        "modified": [
+            {
+                "path": "file",
+                "hash": {"old": digest("first"), "new": digest("second")},
+            }
+        ],
+        "not in cache": [],
+    }
+
+
+def test_targets_single_dir_with_file(tmp_dir, scm, dvc):
+    setup_targets_test(tmp_dir)
+
+    expected_result = {
+        "added": [
+            {
+                "path": os.path.join("dir_with", "file.txt"),
+                "hash": digest("first"),
+            },
+        ],
+        "deleted": [],
+        "modified": [],
+        "not in cache": [],
+    }
+
+    assert dvc.diff(targets=["dir_with"]) == expected_result
+    assert dvc.diff(targets=["dir_with" + os.path.sep]) == expected_result
+
+
+def test_targets_single_file_in_dir_with_file(tmp_dir, scm, dvc):
+    setup_targets_test(tmp_dir)
+
+    assert dvc.diff(targets=[os.path.join("dir_with", "file.txt")]) == {
+        "added": [
+            {
+                "path": os.path.join("dir_with", "file.txt"),
+                "hash": digest("first"),
+            },
+        ],
+        "deleted": [],
+        "modified": [],
+        "not in cache": [],
+    }