According to Freud, the hidden meaning of a dream, fantasy, or thought, versus the surface (manifest) content. Latent content can be revealed through dream interpretation and free association.
Example: Freud said that dreams about elongated objects such as tree trunks, rockets, or weapons were really dreams concerning the male genitalia.
Grinnell, R. (2009). Latent Content. Psych Central. Retrieved on April 25, 2015, from http://psychcentral.com/encyclopedia/2009/latent-content/