Dreaming about a coward signifies one is either terrified or feeling fear of something but still doing the activities they find scary or are scared to do. They are timid and unassertive, despite their true feelings and emotions. This can lead to withdrawal, isolation and avoidance of scary situations when awake leading to refusing opportunities that may help them overcome fears and obstacles.
Seeing a coward in a dream may represent how they feel about themselves. If someone was being bullied when they were a child and has had to continue in their adolescent or adult lives, this theme of cowardice is likely going to come up in their dreams.