To test if the last bit is set you could use:
isBitSet = ((bits & 1) == 1);
But you should do so before shifting right (not after), otherwise you's missing the first bit:
isBitSet = ((bits & 1) == 1);
bits = bits >> 1;
But a better option would be to use the static methods of the BitConverter class to get the actual bytes used to represent the number in memory into a byte array. The advantage (or disadvantage depending on your needs) of this method is that this reflects the endianness of the machine running the code.
byte[] bytes = BitConverter.GetBytes(num);
int bitPos = 0;
while(bitPos < 8 * bytes.Length)
{
int byteIndex = bitPos / 8;
int offset = bitPos % 8;
bool isSet = (bytes[byteIndex] & (1 << offset)) != 0;
// isSet = [True] if the bit at bitPos is set, false otherwise
bitPos++;
}