Yes. A coupon with Apply Discount to Recurring Subscription Rate behaves like a normal coupon on the checkout where it is applied (it reduces the first payment according to its Value and Type) and, in addition, stores the discounted price on the subscription so that every automatic renewal is billed at that lower rate. The subscription's admin page shows a "Recurring Coupon" field and, once a coupon has been applied, an "Original Plan Price" line alongside the current (discounted) "Rate to Charge for Plan."