With fracking margins tightening over the past few years, oil services companies are having to evolve. Businesses such as Core Laboratories (CLB) are taking a chance on long-term success through diversification -- including testing and reservoir analysis -- while risking a short-term hit by turning away from their traditional offerings.

In this "Digging for Value" video, Fool energy and materials analysts Joel South and Taylor Muckerman talk about the shift oil services companies have made in the past few years.